Tag Archives: Blog

Finseca (AALU) – 🔴 BREAKING: Tax Increase Details

September 13, 2021— Yesterday, Finseca got hold of a list of tax increases planned to pay for the $3.5 trillion dollar ‘soft’ infrastructure package. This is an early document, and we expect changes before the bill reaches President Biden’s desk – candidly, it could change as soon as tomorrow.

To see the current details, click here.

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WSJ: What Peter Thiel’s Roth IRA Means for Yours

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An interesting article by Laura Saunders for the Wall Street Journal on July 2, 2021.

“Large Roth IRAs owned by the superrich are in the tax spotlight now, and all savers should consider the implications for their own retirement accounts….The story [ProPublica] claimed some wealthy Americans have multimillion- or even billion-dollar, tax-advantaged retirement-savings accounts. The largest one cited was a Roth IRA with $5 billion in assets (as of 2019) belonging to PayPal founder and investor Peter Thiel.”

To read the full article, click here.

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Wealth Management.com – “Green Book Signals Green Light to Grandfathered Estate Planning”

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“Now that we have the Green Book, which covers all of the same ground as the STEP Act, it seems that we no longer need to be concerned with retroactive provisions and can advise clients to take certain proactive steps….Green Book = Green Light.”

To read the full article, click here.

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Forbes – “‘Mathing Out’ Estate Tax Planning Strategies” by Alan Gassman

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“Well-meaning advisors and their studious clients are not always running the numbers to help ensure that the strategies and techniques they are using will provide the best-expected results….We have found from years of experience that there is no substitute for taking out a calculator or spreadsheet and reviewing the most probable scenarios (as well as possible or unexpected situations) to determine the expected and non-expected outcome of any given technique in order to produce the most accurate map possible of the estate planning territory.”

To see the full article, click here.

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Finseca: What comes around goes around – Charitable Remainder Trusts and Wealth Replacement Life Ins Return to Spotlight

“As part of their comprehensive legacy plan, clients who are charitably inclined, hold significant highly appreciated assets, and wish to create a lifestyle “annuity” should consider a CRT, especially if they can benefit from an income tax charitable deduction. Selling an appreciated asset inside a CRT may provide an economically superior result compared to selling the same asset in a client’s own hands, especially when done in conjunction with purchasing additional life insurance through an irrevocable life insurance trust (“ILIT”).”

To read the full article, click here.

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Finseca (AALU): “An Honest Look at Saving Taxes by Relocating from California or New York”

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“Individuals and businesses in high tax jurisdictions have been expressing unprecedented interest in relocating to states with more manageable tax regimes. This is especially the case with business owners looking to sell their businesses. But whether this trend rises to the level of an “exodus”—as many characterize it—is up for debate. The impetus for moving typically runs deeper than just taxes, though taxes often are the proverbial final straw. This article analyzes tax issues individuals and businesses should consider when evaluating whether to relocate from California or New York.”

To read the full article, click here.

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2021 Tax Outlook – The Biden Plan

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“President Biden campaigned on a tax plan that would raise almost 4 trillion dollars – primarily by increasing taxes on individuals making more than $400,000 a year and raising the corporate rate. While the entirety of the plan is unlikely to become law this Congress it does provide a menu of policy options that Democrats in Congress will consider, especially once they turn to the forecast infrastructure and climate change bill expected this summer….What is likely to move forward, and what is likely to slip off the agenda?”

To read on for a breakdown on the prospects of the Biden tax plan in 2021, click here.

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NY Times -“Well, Mom Always Did Like You Better”

“When you’re planning to divide your estate unequally, explain the reasons to your heirs, and remember: They might be hurt anyway….For most older parents, it is simpler to leave each adult child the same inheritance. But is equal always equitable? For many, the answer is no. And as the pandemic drives people to draft or update their estate plans, more are confronting that question….While leaving equal inheritances is the norm, many parents appear open to bequeathing their adult children different amounts. Two-thirds of Americans 55 and older said a child who provided them care should get a bigger inheritance than children who did not….The survey also found that one in four parents said an adult son or daughter who has children should receive more than a child who does not.”

To read the full article, click here. 

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NY Times: “Tales from two sons whose fathers died without a succession plan”

Tales from two sons whose fathers died without a succession plan.

“Financial advisors worth their fees will always discuss the need for succession plans with clients who own businesses.  But that doesn’t mean business owners will listen….People just don’t want to do it.”

To read the full article, click here.

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