Thursday, 27 April 2017 01:52

Trump's 2017 Tax Plan

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Trump’s 2017 Tax Plan

 

On Wednesday, April 26, 2017 President Trump presented a proposal to overhaul the Tax Code.  The proposal was very brief – just one page.  Of the seven items, I wish to discuss only two because they most influence Estate Planning, and those are the proposed changes to Capital Gains, and the Federal Estate Tax.

 

Proposed Changes to Capital Gains:

Proposed to be reduced from 23.8% to 20%

 

 

Proposed Changes to the Federal Estate Tax:

 

Complete elimination of the Federal Estate Tax.  It is indexed for inflation, and as of 2017 it is:

Individual – $5.49 million, and for married couples it is $10.98 million (double what it is for a single person)

 

 

What are Capital Gains?

 

When you buy something and it goes up in value by the time you sell it, you’ve realized a Capital Gain, and you are supposed to pay taxes on that gain.  Many people think this only applies to rich investor types, but in-fact, it applies to a single silver coin, your Samsung TV, or whatever!

The 3.8% reduction represents the 3.8% surtax that was added by President Obama during his administration to help fund Obama Care (or the Affordable Care Act).

 

 

What is the Federal Estate Tax (or sometimes “Federal Estate Tax Exclusion”, or “Federal Inheritance Tax”, or “Federal Death Tax”)?

 

This is the amount that can be passed to your beneficiaries free of any tax imposed at the federal level.  Luckily for most of us, this tax never kicks in and gets applies to our estate.  As a matter of fact, it only applies to less than 1% of the population.  I said “luckily”… perhaps we’d all like some of that luck!

 

See my Blog for a more detailed discussion of Federal Estate Tax and see my discussion of how the Marital Deduction plays a part in the Federal Estate Tax.

 

Estate planning is more than just saving on taxes (at any level).  If you need help, please feel free to give me a call.  I always answer my own phone.

 

 

Conclusion

Well, for now there is no conclusion.  We will keep our eye on things and see what happens.  These were just proposals after all.  Stay tuned!

My most important job is to listen to your wishes then suggest solutions.  Call today and let’s start planning!

 

See lots of estate planning information on my website at: www.myestate-plan.com

 

Thanks for reading!

 

Dan Powell

 

1-619-980-2297

 

****Reminder****

Just like my website, nothing in this blog is intended as legal advice. If you need legal advice, contact an attorney licensed to practice in your jurisdiction. I am licensed to practice law in California.  Further, please remember that I speak in generalities in my blog (and on my website). There are so many different factors that can contribute and completely change the outcome that it would not be practical to discuss all of them here. This is why I speak in generalities. Thanks again for reading.

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This document is for informational purposes only.  Nothing in this is to be considered legal advice.  Nothing in this shall create an attorney/client relationship, nor shall it create a confidential relationship.  If you need legal advice (in California), feel free to contact me or someone licensed to practice in your jurisdiction.  I assume no liability or responsibility for actions taken, or not taken, as a result of reading this information.

Wednesday, 04 May 2016 01:29

Prince Dies Without a Will or Trust

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Prince Didn’t Have any Estate Plan!

 

I am always surprised to hear about people that die without any estate plan in place.  I am especially surprised to hear when people with large estates pass away with no plan in place.  This was the most recent case with Prince.  Price died with no Will, and no Trust.  Yesterday a special administrator was appointed.  Now everything that transpires, because the estate will have to be probated, will be public record.  Moreover, a Will is not private, and is easier to contest (generally) than a Trust.  Michael Jackson died with a Will and provided for his children via testamentary trusts, but still this is a public transaction that could have been avoided with a proper estate plan perhaps utilizing a Living Revocable Trust, Irrevocable Trust, or other means.

 

Upon hearing that people die without estate plans in place make me wonder why.  I wonder if they think they are too young to die, or if they think they are too young to plan.  Perhaps they don’t prefer to contemplate their own demise.  No matter the reason, we all know and need to come to grips with the fact that we could die at any age, that having a plan is far better than not planning, and planning for our demise is one of the best gifts we can give to those we love.  A Revocable Living Trust, an Advance Healthcare Directive and other proper estate planning methods can take tremendous stress off of your family.  It can also minimize fighting among family member (not always, I’ll give you that!) and insure that your hard earned assets are given to those you desire to provide for.

 

I believe you are never too young to plan, no estate is too small to prevent providing some peace of mind, and planning is an excellent way to show that you care and that you are remembered.  Please feel free to give me a call and we can establish your Living Revocable Trust or other estate plan objectives.  If you have specific estate planning goals in mind, I can help create solutions you may not be aware of. 

 

See lots of estate planning information on my website at: www.myestate-plan.com

 

Thanks for reading my blog.

 

William Daniel Powell

619-980-2297

This email address is being protected from spambots. You need JavaScript enabled to view it.

 

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This document is for informational purposes only.  Nothing in this is to be considered legal advice.  Nothing in this shall create an attorney/client relationship, nor shall it create a confidential relationship.  If you need legal advice (in California), feel free to contact me or someone licensed to practice in your jurisdiction.  I assume no liability or responsibility for actions taken, or not taken, as a result of reading this information

Also, please remember that I speak in generalities in my blog and my website. There are so many different factors that can contribute and completely change the outcome that it would be impractical to discuss all of them here.

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Tuesday, 05 April 2016 03:51

Small Plane Crash on I 15

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Small Plane Crashes on the I-15 in San Diego

Sad and Strange Happenings

On April 2, 2016 a small two seat aircraft crash landed on Interstate 15 North in San Diego killing one woman and injuring 5 others.  The woman killed was sitting in the back passenger seat of a car that was pulled to the side of the freeway while the driver was making some adjustments to some electronics.  The driver was doing the right thing in my opinion in pulling to the side instead of being a distracted driver. 

 

The woman that was killed was a member of the Starlettes Roller Derby Team and named Antoinette Frances Isbelle.  Apparently she is also a music fan and used to frequent various clubs around San Diego.  Many of these establishments were clubs in which my band used to play.  I am told she attended many of our shows, however I don’t recall meeting her.  I don’t know if she was there to see us, and it doesn’t matter to me.  The style of music my band, Dying Regret, played was modern metal, and the modern metal community is a pretty small and tight-knit group.  So, though I don’t think I met Antoinette, I was even more saddened by the news because of these facts.  Don’t get me wrong, it is tragic and sad no matter what. 

 

 

I’m sorry I didn’t get a chance to sit and talk with a fellow music fan.  I offer my sincerest apologies to her family, friends, and fans.

 

See lots of estate planning information on my website at: www.myestate-plan.com

 

 

Thank you for reading.

 

William Daniel Powell

 

1-619-980-2297

 

This document is for informational purposes only.  Nothing in this is to be considered legal advice.  Nothing in this shall create an attorney/client relationship, nor shall it create a confidential relationship.  If you need legal advice (in California), feel free to contact me or someone licensed to practice in your jurisdiction.  I assume no liability or responsibility for actions taken, or not taken, as a result of reading this information.

 

Wednesday, 09 December 2015 03:49

San Bernardino Terror Attack

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San Bernardino Terror Attack

 

Thoughts and Prayers

First of all our thoughts and prayers go out to all of the victims and family of the victims.  May God comfort them now and as time goes on.  The animals that perpetrated the offense did so in the name of God – but they were wrong.  They got God wrong.  They got lost.   After the racist so-and-so killed the people at the bible study in South Carolina I was absolutely impressed with the response of the people in South Carolina.  They said, in effect, that Roof wanted a racial war, but he failed and all he would see as an effect of his act was love.  Amazing.  I can only hope and pray that God would give me such grace.  It would be difficult.    

After the San Bernardino attack, the New York Daily News headline read: “God isn’t fixing this”, and called prayer “meaningless platitude”.  This was calculated to tell us Christians that prayer doesn’t work, and should be abandoned.  I strongly disagree.  Think about this one: after the San Bernardino terror attack each comment made by the Democrat presidential hopefuls condemned the Republicans, and each comment made by the Republican hopefuls mentioned PRAYER.  Prayer is powerful.  Change is needed, but it must be the correct change.

 

Lawmakers and People Want Action

After the shooting at Newtown Connecticut, Vice-President Joe Biden said that we don’t have time to enforce the existing gun laws, and that we need new ones.  Can you really call this statement a well-informed or even intelligent one?

Soon after the San Bernardino attack, President Barack Obama said that we shouldn’t be hasty in discussing the motivations of the shooters and wouldn’t call it a terror attack, but in the same breath called for more “gun control”.  He went so far as to say that anyone on the no-fly list should be banned from gun ownership.  Obama went on to say that it is foolish that someone dangerous enough to be banned from flight should be allowed to purchase a gun.  Okay, let’s look at that no-fly statement.  Sounds pretty reasonable doesn’t it?  Well… what does it take to be put on the no-fly list?  Think about it.  If you are put on that list, your Constitutional right to own a gun in now prohibited.  It is also likely done without notice and an opportunity to be heard.  Another Constitutional violation.  Pesky Constitution… it just gets in the way of freedom.  Imagine what the reaction would be if we substituted the 2nd amendment with another in this situation.  If you are on the no-fly list, your 1st amendment right to free speech is now infringed.  How about if you are on the no-fly list, your right to practice religion, another 1st amendment right, is now prohibited.  Would the people we elected still act the same?  Not very likely.  Especially if it offended groups other than Christians.  I offer this:  If someone is dangerous enough to be put on the no-fly list, that person should probably be deported and not allowed to return. Done with ascertainable standards and with notice and opportunity to be heard.  Not just put on a list and with the stroke of a pen have American citizens deprived of constitutionally protected rights.  Common-sense MUST prevail.  The Constitution MUST PREVAIL. 

 

Some Things to Consider

Two of the most restrictive states for gun ownership are California and Connecticut; the homes of two of the most deadly mass shootings.

Mass shootings almost always occur in “gun free zones”. 

Evil will always be evil and always break the law to perform their evil.

Guns are tools.  Knives are tools.  Screwdrivers are tools.  A car jack-stand is a tool.

Evil can use any tool they like. 

Evil people can use a car-jack stand to perpetrate their evil.

See what’s happening here? 

 

A Good New "Law" to Consider

Instead of making new laws because we can’t enforce the ones we have, how about reducing some constitutionally restrictive laws imposed on us subjects…. I’m sorry!  I mean us citizens.

Tell lawmakers to get out of the way.  Tell them to stop standing between us and our God-given, and constitutionally provided for, unalienable right to self-defense.

God made man.  Sam Colt made them equal.

Those law-abiding, trained and licensed individual citizens carrying guns are better equipped to end violence than those that are unarmed and forced to duck, cover, and wait to die. 

 

See lots of estate planning information on my website at: www.myestate-plan.com

 

****Reminder****

Just like my website, nothing in this blog is intended as legal advice. If you need legal advice, contact an attorney licensed to practice in your jurisdiction. I am licensed to practice law in California.  Further, please remember that I speak in generalities in my blog (and on my website). There are so many different factors that can contribute and completely change the outcome that it would not be practical to discuss all of them here. This is why I speak in generalities. Thanks again for reading.

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This document is for informational purposes only.  Nothing in this is to be considered legal advice.  Nothing in this shall create an attorney/client relationship, nor shall it create a confidential relationship.  If you need legal advice (in California), feel free to contact me or someone licensed to practice in your jurisdiction.  I assume no liability or responsibility for actions taken, or not taken, as a result of reading this information.

 

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