Client Alert

Hiring A Team Of Legal And Tax Professionals For Your Estate Plan

Employing a team of professionals to plan, review and administer an estate plan can be the key to preventing unexpected setbacks in the future. One of the main ways you can avoid experiencing setbacks is by hiring professionals who can assist you with taxes. This is particularly true if you own a business, considerable insurance policies or significant assets.

Here are the top three professionals you may want to consider adding to your estate planning team for tax purposes.

Estate Planning Attorney With A Tax Background

Estate and tax laws are ever-changing and employing an attorney with a background in taxation is crucial. A lawyer can ensure that your estate plan is up-to-date with current laws, enforceable and includes adequate tax-planning measures. This can include estimating generation transfer taxes, strategizing for a deferral or reduction of income taxes and addressing liquidation problems associated with federal and state taxes.

Tax professional

In addition to a lawyer, it can also be a good idea to consult with qualified tax professionals, including Certified Public Accountants (CPAs,) investment advisors and financial planners. During the creation of an estate plan, they can inform you of the tax implications you can expect to encounter. Tax professionals can also assist during the administration process by preparing and filing estate, gift and federal tax forms.

Income Insurance agent

Your life insurance will likely be used, in part, to pay the appropriate taxes. An experienced insurance agent can work with you to resolve the tax consequences associated with policy ownership changes and business successions. In some cases, life insurance may be subjected to federal gift and estate taxes. An insurance agent will evaluate your policies and determine what taxes will need to be paid.

Waiting to meet with these key players regarding your estate plan could cost you valuable time and money. Consulting with the above professionals may be your best bet for creating an effective estate and tax plan for the years to come.

Posted in Client Alert, Tips (How & Why).