Divorce, remarriage, and blending families are treacherous enough waters to navigate, let alone wondering if all sides of your family will get along when you die. Those are all critical junctures to update your estate plan, whether it be a trust, a will, power of attorney, health care directive, or just beneficiary designations. If all aspects of your estate plan…
After you retire, you may no longer wish to reside in California, instead opting for what may be considered a more “senior-friendly” environment. Where you move could have a significant impact on your estate plan. Therefore, it is important to consider the tax consequences of moving to a new state. If you choose to relocate to a western state—Arizona, Nevada,…
The days following the death of a spouse can be confusing. There are a lot of decisions to make and tasks to undertake. One area that must be dealt with quickly and competently is your finances. It is very important to get a clear picture of what steps you must take to secure your financial future. For example, it is…
Margo stormed into her diner, slapped a newspaper down in front of her sister, Irene, and exclaimed, “Look at this! This could happen to us!” Irene glanced at the paper and her face scrunched up in confusion. “What on earth do we have in common with Tom Petty?” She peered up at her sister. “He died, you know.” Margo glared…
Betsy slowly lowered herself into a kitchen chair and buried her head in her hands. Since her husband, Bill, had died three days ago, she had been swept up in a whirlwind of activity. Between planning a funeral, notifying relatives, and nonstop condolence calls, she hadn’t had any time to grieve, much less think. Her gaze swept the room and…
The California legislature is considering a proposal that could impose a state tax on some estates. Generally, estate taxes are imposed by the federal government on the assets or estate of someone who has died. The tax is paid before the heirs receive any bequests. One of the purposes of estate planning is to minimize an estate’s tax liability. California…
Sally stared at the notice from the bank and frowned. “What’s that?” her husband, Bill asked. “Another bill for your dad?” Sally nodded. “But this time it’s his monthly mortgage payment. I wonder if we need to pay it. He’s only been dead five days. Maybe they aren’t aware of it.” Bill snorted. “Why pay the mortgage if he’s dead?…
This C.A.R. sponsored law creates a simple process for seniors or disabled homeowners to find information on how to apply for a parcel tax exemption. Existing law allows for the imposition of parcel taxes, which are special taxes assessed on individual pieces of property, to fund, among other things, education. Under current law, school districts may exempt seniors (65 years…
Recent changes in how real estate and real estate transfers are taxed in some California communities could have a significant impact on your estate plan. A hefty surcharge for possession of certain types of vacant properties, as well as an increased tax on real estate transactions, may require changes to the timing and method for gifting or otherwise transferring property…
If you are over the age of 55 and thinking about moving, consider this: you may be able to take your low property taxes with you to your new home. Thanks to Proposition 13, which was passed by California voters in 1978, real estate in California is no longer reassessed at its fair market value for property tax purposes every…