Leaving a Legacy

Tenicia's Tidbits

A good financial plan allows for us to provide for loves one.

One of the major advantages of accumulating and success during our lives is being able to share that with love ones and a favorite charity.

To do that one can gift assets to people and institutions, choose beneficiaries, write a will, and/ or create one or more trusts to leave a legacy.

Besides establishing the above to spread the love, we also have to disinherit the tax man. In order to do that we have to estimate what our assets are worth now and what the likely value will be in the future.

Recently, charitable giving came up in conversation and the various ways  to use it in planning.  Charitable giving is a good way to reduce an estate and reduce the tax bill at the same time.  Of course, there are limits, so seek the advice of an accountant or attorney.

Charitable Giving

Two popular trusts are -

                Charitable Remainder Trust (CRTs) - with a CRT you can retain an income from the trust for life with the remainder going to charity.

                Charitable Lead Trust (CLTs) - with a CLT the charity gets an income for a period of years with the remainder going to you family.

Most people believe they do not have an estate. But many would be surprised to know what that have gained in their lifetime.

Here are assets that make up a typical estate-

• Real Estate


• Bank Accounts


• Personal Property


• Retirement Plans


• Life Insurance


• Stocks, Bonds, Mutual Funds


• Income Tax Refunds


• UGMA and UTMA (if you are custodian of these minor accounts)

Yes we can have it all, help our family and our favorite charity at the same time.  Keep Giving!