Estate Planning

Estate Planning

Your most valuable assets are those traditions and values that you share and will pass on to your heirs. Bequeathing your legacy that you have built in your lifetime requires careful planning- including the transfer of material wealth. Involving your family in your planning stages will continue that legacy for generations.

• Help to implement strategies to make sure that your loved ones receive most of what you have built over a lifetime.

• Attempt to minimize Federal Estate Taxes and other expenses.

• Help to make sure your estate passes in the manner you intended.

• Help to give you peace of mind that you have done EVERYTHING possible to conserve your assets for your family.

• If you are like most people, you have spent your life building and maintaining your estate. You would probably like to see that estate pass to your loved ones after you die.

• Unfortunately, unless you make specific preparations, the estate your heirs receive may be quite different from the estate you intended them to have.

First, taxes will take their toll. Pennsylvania State Inheritance tax is 4.5%. Estate taxes can consume as much as 55% of the estate and sometimes more. Probate costs could extract another 2-3%. And that is calculated before any liens or other debts are paid. Your heirs could easily end up having to sell some of your assets just to pay these expenses.

Much can be accomplished by having your plan up-to-date. Special consideration should be given to how your assets are titled. Your wills should be reviewed in relationship to major recent changes in tax laws.

Fortunately, there are strategies you can implement to make sure that your loved ones receive the estate you intend. With proper planning, you can decide exactly who will receive what and enable your heirs to inherit more of what you have built over a lifetime.

H Financial Management can provide you with a hypothetical estate planning analysis. We will discuss wills and trusts and other planning techniques to help you maximize the amount ultimately passed to your family and minimize taxes.

Planning a bright future for your Children and Grandchildren

One of the greatest joys is to see your child graduate from college. Planning for future education should start early. This is especially important since the cost of higher education is outpacing inflation. For instance, from 1978-2008, the cost of living in the United States has increased more than 3-fold, but the average cost of college tuition in the same period increased more than 9-fold!

We have the expertise to help you plan for your child’s higher education through several plans. However, the tax advantages of a state sponsored 529 Savings Plan gives you several advantages. Earnings are free from federal taxes when being used for higher education expenses. Earnings are free from state taxes, also. You control the funds. You choose the investment strategy. Unused portions may be transferred to other family members. Generous contribution levels exist, regardless of income.