2025 Key Changes to Know
Estate Planning in 2025: Key Changes You Need to Know
Published: December 20, 2024
The new year is just around the corner, and it's time to take stock of your legacy. Estate planning isn't just about paperwork; it's about protecting your loved ones and ensuring your values endure.
Key Changes You Need to Know:
The 2025 Tax Cliff: The significant estate tax exemption we've enjoyed in recent years is set to dramatically decrease. This could have a major impact on your estate, potentially leading to unexpected tax burdens.
Proactive Planning is Crucial: Now is the time to review your current estate plan and explore strategies to minimize the impact of these changes.
Year-End Strategies to Consider:
Maximize Gift Giving: Utilize the annual gift tax exclusion to reduce your taxable estate while supporting loved ones.
Charitable Giving: Consider donating appreciated assets to your favorite charities to minimize capital gains taxes and maximize your impact.
Tax-Loss Harvesting: If your portfolio has experienced losses, consider selling those assets to offset gains and reduce your overall tax liability.
Essential Steps to Take Before Year-End:
Organize Your Finances: Create a comprehensive inventory of all your assets, including bank accounts, investments, and real estate.
Review and Update Key Documents: Ensure your healthcare proxy and power of attorney are current and reflect your wishes.
Revisit Guardianship Plans: If you have minor children, confirm that the designated guardians are still the best choices for their care.
Audit Your Trusts: Verify that your trusts are properly funded and that all assets intended to be included are indeed part of the trust.
Communicate with Your Family: Share your estate plan with your loved ones, discuss your intentions, and designate a trusted individual to manage your affairs.
Planning for the Future:
Don't let the complexities of estate planning overwhelm you. Sage Legacy Counsel is here to guide you through this process. Our experienced team can help you navigate the changing legal landscape and create a plan that reflects your unique circumstances and goals.
Contact Sage Legacy Counsel today to schedule a consultation and ensure your legacy is protected.
Call: 334-649-4991
Email: [email protected]
