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Top 10 Reasons to Reduce Your Estate by Giving to Your Family |
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9. You don't need the money. 8. The annual gift tax exclusion of $10,000 per person per year is one of the few shelters from estate tax. Over time a lot of your wealth can be shielded from gift and estate taxes. Try our FREE Estate Gift Calculator 7. Each person has a lifetime exclusion from gift tax that, in the case of estates subject to tax, is a very real asset. Early use of the lifetime exclusion is more valuable to your heirs than waiting to use it at your death. 6. Wealth can be more aggressively invested for young people who have a longer time horizon. 5. Growth of gifts once given is not taxed as part of your estate. 4. Gifts given over time are easier for your family to deal with than an inheritance received all at once during or after the trauma of losing a loved one. 3. Gifts can provide for your family's current needs. They may be the difference between having grandchildren in day care and a stay at home mom for instance. 2. Planning helps to eliminate misunderstanding and uncertainty about what will happen to your wealth and when. 1. Gifts allow you to enjoy what becomes of your wealth while you are alive. |
