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Important IRS Update: Significant Interest Penalty Increase for Tax Underpayments

The Internal Revenue Service (IRS) has recently announced a critical change that could significantly impact taxpayers who underpay their taxes. This update is particularly relevant as we approach the next tax filing season. Previously, the IRS charged a 3% interest penalty on estimated tax underpayments. However, this rate has now been increased to a substantial

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Will Inflation Hurt Stock Returns? Not Necessarily

Investors may wonder whether stock returns will suffer if inflation keeps rising. Here’s some good news: Inflation isn’t necessarily bad news for stocks. A look at equity performance in the past three decades does not show any reliable connection between periods of high (or low) inflation and US stock returns. Since 1993, one-year returns on

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Maximize Your Charitable Impact with These Four Strategies

As the year draws to a close, it’s a perfect opportunity to rethink how you give to charity. This is important for managing how much tax you pay and how much help reaches those in need. Here are four effective strategies: Need Guidance? Reach Out to Us! These strategies are just a starting point. There

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Estate Planning and Reproductive Technology

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Category: Estate Planning Estate Planning for Attorney Estate Planning For Business Owners Estate Planning for Children

Unfortunately, estate planning law hasn’t really stayed on pace with reproductive technology and rights, generating quandaries about inheritance rights. It would make sense that children conceived after the death of an individual (or statements denying inheritance rights about these individuals) should be included in estate planning documents.

forbes.com
(Photo credit: forbes.com)

A trust might be a more appropriate vehicle for managing inheritance rights in this way when compared with a will. A comprehensive estate plan, too, can also be valuable with regard to genetic material. Much the law with regard to inheritance rights and genetic material is very specific to each state, which is why it’s recommended to work with a professional if you’re concerned about children conceived posthumously. In many states, the law has not provided a framework for the disposition of embryos or gametes at the death of the donor.

While not every estate plan will include such instructions and details, it’s critical that those in this situation think about whether those individuals conceived later will have any inheritance rights. Planning in advance for this and documenting your wishes is a vital step in ensuring that your wishes are carried out after you have passed away. Advance planning can be complex, but the process is made easier when working with an experienced estate planning lawyer. To learn more about complex estate planning needs involving reproductive issues, contact us at 732-521-9455 or email us at info@lawesq.net

One Family’s Quest to Pass on the Business

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Category: Estate Planning Estate Planning For Business Owners Family Business Small Business Owner

For families that own small businesses, one vital part of estate planning is succession planning. Through succession planning, a business owner plans for the future of his or her business. A recent article discusses how Charlie Luck IV is planning to keep family-owned firm, Luck Stone, in the family.

English: gravel being unshiped
(Photo credit: Wikipedia)

At only 53, Luck is in no hurry to pass the business on to his heirs. However, in planning ahead, Luck shows the forethought that all small business owners should have when it comes to succession planning. Luck is already considering which, if any, of his three children display the responsibility and interest necessary to run the business.

Although Luck’s biggest goal is to keep the business in the family, he knows that it will only work if he selects the right successor. As Luck explained, “One of the worst things in the world you can do is put any person in a company role, family or non-family, that does not align with who they are, with their skill set and their capacity…that is unethical.”

Statistics are not on the side of family businesses. Only three percent of family businesses in the same position as Luck Stone – moving from generation three to generation four – survive the transition.

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