Year End Estate Planning Tips
Before we all get wrapped up in December’s holiday hustle, take a moment to consider some very important year-end reminders:
Dust off your Core Estate Planning Documents! We recommend reviewing your Estate Plan (Wills, Living Trusts, Healthcare Directives, Powers of Attorney, etc.) every 5-10 years, but especially in election years when there is a major shift in political control. Also, double-check that the individuals you have designated as your healthcare and financial agents still mesh with your estate planning needs. Happy holiday cleaning!
Have you made your annual exclusion gifts? If you haven’t made your annual gifts for 2024, consider doing so. This amount will increase in 2025, but you can still make gifts this year! 529 Plans for children/grandchildren are a great option. Merry gifting!
Will the Tax Cuts and Jobs Act sunset? Provisions of the Tax Cuts and Jobs Act relevant to estate planning, especially as it pertains to the estate tax, are set to sunset on December 31, 2025. This may change with the incoming administration; however, it is worth taking advantage of these favorable tax laws now before they go away. Don’t let the sun go down on this opportunity!
Consider Charitable Gifting! During this season, we are all asked to give to those in need, but there are so many ways for you to do that. While you will always receive the income tax benefit for charitable contributions, you can receive additional tax benefits when gifting appreciated stock or making Qualified Charitable Distributions from your IRA. Plus, of course, there’s the warm feeling inside from more than just a hot cup of cider!
Are you sufficiently insured? A safety net in the event of the unfortunate can often be the greatest gift you can give your family, but things may have changed since you last looked at your insurance policies. Are you properly insured for your age and position in life? Could an umbrella policy be better suited for you? Are your beneficiary designations correct? Leave a contingency plan under the tree this year!
Review your Retirement Plans! Have you made your maximum retirement plan contribution for the year? These are some of the best vehicles for preserving wealth. So, make your contributions, plus any catch-up if you missed a year or two. Nothing wrong with giving yourself a little something!
If you have any questions or would like to discuss these topics in more detail, reach out to our team via phone at (404) 255-7400 or by email.
There’s no time like the “present” to leave yourself, your loved ones, or your favorite charities the gift of a cohesive and effective estate plan. As always, we hope you have a happy holiday season and prosperous 2025!
