Article Link: http://exchangepress.com/article/some-myths-and-facts-you-need-to-know-about-estate-planning/5011846/
A ll of us work hard to carefully plan many aspects of our lives, such as our education, careers, weddings, vacations, and retirement. Isn't it amazing, then, that the all-important area of Estate Planning is so frequently ignored or given short shrift despite the fact that onerous estate taxes often result in devastating financial consequences to families and other heirs.Why should you be concerned? The unified gift/estate tax rates start at 37% and increase to a staggering 55%. An additional 5% surcharge applies to taxable estates between $10 million and $21 million. Retirement plan distributions can actually be taxed for both income and estate taxes up to 70%.
The government is quite aware that they stand to reap a windfall which will go a long way to solving the national debt problem. So many people, particularly in the baby boomer generation (which will soon be approaching retirement), regardless of intelligence or substantial means, find dealing with this issue somewhat unsavory and therefore choose procrastination over planning.
Myth #1
Estate Planning only deals with what happens when I pass away, and I don't want to think about that! Besides, once I am gone, let my heirs worry about such things!
Facts
- Estate Planning primarily focuses on techniques ...