Older parents are becoming more common, driven in part by changing cultural mores and surrogate motherhood. Steve Martin...Read more
Key Estate Planning Numbers Are Changing in 2006
- November 23rd, 2005
A number of important estate planning numbers will change when the clock strikes midnight on December 31.
Whatever you own is subject to the federal estate tax upon your death, but not all estates are taxed. The federal estate tax exemption is rising to $2 million in 2006. In 2005, the exemption was $1.5 million. This exemption will increase incrementally until it reaches $3.5 million in 2009. Unless Congress acts, in 2010, the estate tax will be repealed in 2010 and then will revert to $1 million in 2011.
In addition, the generation skipping transfer tax exemption increases to $2 million. The tax applies when you give money to your grandchildren.
At the same time, the annual gift tax exclusion is rising to $12,000. For more on this, click here.
In addition, there will be changes in the deductibility of long-term care insurance premiums from taxes. For details on this, click here.
For more on estate taxation and gifts in general, click here.
Local Elder Law Attorneys in Ashburn, VA
Needham Mitnick & Pollack, PLC
Susan Pollack served as Chairperson of the Falls Church Senior Citizens Commission from 1997 to 2011 and was on the Executive Board of the Falls Church Education Foundation. She has also served on the Board of Directors of the Alzheimer’s Association of the National Capital Area and is a member of the Arlington B...
Margaret A. O'Reilly, PC
Margaret A. O’Reilly is an estate planning and elder law attorney with over thirty-five years of legal experience. Attorney O’Reilly graduated from Duke University with a degree in psychology, and received her law degree from Northeastern University School of Law in Boston, Massachusetts. For over 15 y...
The Law Firm of Evan H. Farr, P.C.
In practice since 1987, Fairfax Attorney Evan Farr is widely recognized as one of the leading Elder Law, Estate Planning, and Specials Needs attorneys in Virginia and one of foremost experts in the Country in the field of Medicaid Asset Protection and related Trusts. Evan Farr has been quoted or cited as an expert by n...