With today’s economy, many families continue to struggle; only the older generation may be in a position to have disposable income. If grandparents are able and willing to help their children and gr...

Each person can pass to heirs a certain amount of property free from federal estate tax. For 2008, the tax-free amount is $2 million; for 2009, it's $3.5 million. This tax-free amount is the portion o...

Congress wanted to tax the transfer of only sizable gifts, so it created an exclusion for smaller ones. Gifts that do not exceed the amount of the exclusion are never taxable. The gift tax annual excl...

When you die, the property you leave behind (called an estate) may be subject to a federal estate tax for the right to pass the estate on to heirs and beneficiaries. Under pre-2010 law, there was no e...

The federal estate tax is a tax on the right to transfer one's property at death and is based on the value of assets owned at that time. Every person is entitled to an exemption amount ($5 million in ...

After someone dies, heirs can make certain moves that will reduce estate tax and also save money for the family. Here are some of the strategies to consider: Estate tax return elections There are seve...

Being generous to your family and friends can cost you if you fail to plan ahead. While they don't owe any income taxes on money or property you give to them, regardless of amount, you as the "donor" ...

GRAT is an acronym for grantor remainder annuity trust; GRUT stands for grantor remainder unitrust. Both types of trusts are used to transfer assets with gift and estate tax savings. Here's how they w...

Years ago, wealthy families figured out a way to beat estate tax by leaving funds to grandchildren (or to children only for their life and then to the grandchildren), thereby skipping tax on the inter...

The term "estate" can have different meanings for different purposes. The "probate estate," which is comprised of assets requiring court approval to pass title to the beneficiary, includes only those ...

Spouses typically leave each other most or all of their assets when they die. These bequests can be made outright, but wealthy individuals often use trusts to make these transfers. Using trusts has se...

Whether you're a multimillionaire or have a modest nest egg, you need to think about estate planning. This is a process of creating a plan for your assets that will be carried out after you die. You l...

If you have money or property to give away to family or even friends, understand how to make the gift. Your decision can have both practical and tax implications. Outright gifts If you transfer owners...

Why make gifts? In the past, gifts to minors were a way for the family to shift income to lower-tax-bracket members in order to save income taxes overall. For example, income that might have been taxe...