Pitfalls to avoid in Estate Planning
- July 13, 2023
- David Greene
- Comments Off on Pitfalls to avoid in Estate Planning
Everyone should review her Estate Plan every two or three years. The beginning of the new year is a good tinme to do that. Here are some pitfalls to avoid. (1) Check your beneficiaries on your trust, will and financial documents. Be sure they are properly appointed. (2) If a minor is a beneficiary, be sure to name the person you would like to serve as his Guardian until he reaches majority. (3) If you have a trust, be sure it is peroperly funded. Remember that you have to actually transfer aassets to the trust through proper paperwork. (4) If you name a beneficiary (other than a spouse) to inherit from a 401k or IRA, remember that the beneficiary will be responsible for the taxes on the transfers, unlesss thaat money is rolled over into another protected account within the time allowed. One way to avoid this is to convert portions of your retiremeent accounts to a Roth IRA.