Bobby’s Blog

Benefits of an LLC for Real Estate Investments

Investing in real estate can be a very good strategy for creating a sustainable income stream for your estate plan. Though, real estate investments also creates inherent liabilities. Whether you invest in homes or apartments, areas such as laundry rooms or staircases, they all carry great risk of exposure. Even tenants themselves carry the risk of exposing you, the owner, to liability from potential environmental-contamination claims, fire-related claims, slip-and-fall claims and other injury claims. This is why steps should be taken to protect yourself, such as forming a Limited Liability Company (i.e. LLC). An LLC can be a great form...

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The Importance of a Special Needs Trust and The Difference Between First Party and Third Party Special Needs Trusts

If you have a loved one, usually a child, who requires special needs such as in-home care or a lifetime of medical treatment, you need to consider setting up a special needs trust. Before going into what exactly is a special needs trust is, you may be asking yourself, “Why do I need special needs planning?” Well, because properly organizing and caring for a loved one with needs that may last well beyond your lifetime is absolutely critical. It is heartbreaking to see someone with special needs who had a loved one taking care of them, but then that...

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Famous People and Estate Planning Disasters

If you think all the well-to-do or celebrities have a magnificent estate plan in place, think again. Many wealthy individuals and famous people failed to properly organize and plan their estates. The result? Estate planning nightmares that lead to millions of dollars being gobbled up by Federal estate taxes, unnecessary legal fees, and lengthy court battles between family members. Below are three prime examples of missed opportunities, in terms of proper estate planning: Steve McNair Steve McNair was a successful NFL quarterback who died suddenly and unexpectedly. He did not have a will or any estate planning documents when he passed away....

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Creative Estate Planning for Clients No Longer Subject to the Federal Estate Tax

When Congress passed the American Taxpayer Relief Act (ATRA), roughly 99.8 percent of U.S. taxpayers became shielded from the federal estate tax (aka the "death tax"). So what does this mean for estate planning? Post-ATRA estate planning appears dramatically different than in years past. For the first time in U.S. history there is a “permanent”, inflation-adjusted and portable exemption amount that essentially excludes the extremely wealthy, from gift, estate and generation-skipping transfer (GST) tax. This is extremely important since, for the past decade, there was a great deal of uncertainty in estate planning. Prior to ATRA, there had been a phased-in...

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