Do Surviving Spouses Have a Right to a 401(k) or an IRA?
When choosing a beneficiary for a retirement plan, it is important to understand how your spouse will be treated under the...Read more
One way for a gift to be exempted from reporting requirements, no matter the gift's size, is to pay for someone else's educational tuition. However, only payments directly to educational institutions qualify for the exemption to the gift tax filing requirements, so a payment to the lending institution would not qualify. But unless your estate is now or is likely to grow to be more than $6 million – more or less the level of the federal gift tax exclusion beginning in 2026 – this should not be a big concern. The lifetime gift tax exclusion means that even if you are technically required to file a Form 709 because you gave away more than $16,000 to any one person last year, you will owe taxes only if you have given away more than the full exclusion in the past.