BMW M3 Forum (E90 E92)

BMW Garage BMW Meets Register Search Today's Posts Mark Forums Read


Go Back   M3Post - BMW M3 Forum > BIMMERPOST Universal Forums > Off-Topic Discussions Board > Politics/Religion
 
Post Reply
 
Thread Tools Search this Thread
      03-13-2010, 08:29 AM   #1
08rookie
Private First Class
 
08rookie's Avatar
 
Drives: bmw
Join Date: Jul 2009
Location: phila, pa

Posts: 123
iTrader: (0)

advice needed on estate law, financial planning

maybe this is not the correct forum to post and i apologize if thats the case...just throwing this out there to see what kind of response i get from the community...please dont bash the thread or my questions...im just looking for some advice/opinions...maybe some of the older guys here have done this in the past or in the process of doing this now...

our family is planning ahead. parents and 3 children. 5 properties and one business. 2 primary homes in nj and 3 homes in philly that our business is run out of. family business is our bread and butter...nobody has a 401k or a stock portfolio...parents retirement is in the properties they own and the business's future earings

i spoke to a finance guy last week from chicago (family friend)...he gave us some insight as to the direction we should look in. as i understand it...a family's net worth can be less then 3.5 million before a federal tax is applied? the state tax will always tax a certain percentage?...what percentage?!

he was mentioning things like setting up a family trust where all the properties and business are placed in this trust which can pass thru tax free if under the 3.5 mil?!

has anybody on the forum had family members retire their days into a nursing home? where properties deeded out of their name before the nursing home was into play?! is that as cut and dry as a swipe of the pen and a property is out of a name?! if the properties are free and clear....will the assumed equity be taxed as it passes through from one person to another?! what if there is still a mortgage?!

as we plan i know that a finance guy and an estate attorney will need to be involved....the finance guy might know the money side and not the law side...as the lawyer will know the law side but not whats in the best interest of our finances.

thanks in advance!
08rookie is offline  
0
Reply With Quote
      03-13-2010, 12:53 PM   #2
lib
Major
 
lib's Avatar
 
Drives: <This space for rent>
Join Date: Apr 2008
Location: ATX

Posts: 1,405
iTrader: (0)

The rules vary state-to-state and what worked best for one person may not be the best course of action in your case.

You'll need to speak with an estate attorney. You've already stated that's in your plan so you're headed in the right direction.
lib is offline  
0
Reply With Quote
      03-16-2010, 08:16 AM   #3
MCS
e90 newbie
 
Drives: 2006 330i
Join Date: Jul 2005
Location: Northern NJ

Posts: 440
iTrader: (2)

Garage List
2006 330i  [0.00]
My advice - Check with en estate planner that knows both NJ as well as PA estate laws. You'll probably be better off setting up the estate in PA, as NJ's "death tax" is likely to go up substantially in the next several years.

We're in a similar situation - My in-laws own businesses and are looking into setting up an estate/trust to pass on to their children
__________________
E90 TiAg 330i ZSP, ZPP, ZCW 6sd Manual, Nav & Satellite (for Stern!), Black leather w/ Poplar
MCS is offline  
0
Reply With Quote
      03-16-2010, 08:19 AM   #4
MCS
e90 newbie
 
Drives: 2006 330i
Join Date: Jul 2005
Location: Northern NJ

Posts: 440
iTrader: (2)

Garage List
2006 330i  [0.00]
oh - and nursing home typically takes the individual's entire assets. That's why setting up an estate/trust is essential to sheild it from being claimed by the nursing home. My grandmother was placed in a home shortly before she passed away.

Its seems a bit callous, but you need to take all assets away from under their name before registering someone in a home, or they'll take everything....
__________________
E90 TiAg 330i ZSP, ZPP, ZCW 6sd Manual, Nav & Satellite (for Stern!), Black leather w/ Poplar
MCS is offline  
0
Reply With Quote
Post Reply

Bookmarks

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Forum Jump


All times are GMT -5. The time now is 07:25 PM.




m3post
Powered by vBulletin® Version 3.7.0
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.
1Addicts.com, BIMMERPOST.com, E90Post.com, F30Post.com, M3Post.com, ZPost.com, 5Post.com, 6Post.com, 7Post.com, XBimmers.com logo and trademark are properties of BIMMERPOST