Does a Spouse Pay Inheritance Tax?
Leaving your spouse in a secure financial position after you pass is an important aspect of estate planning for many Americans.
What Is a 1099 INT Form and What Is It Used For?
If you were paid more than $10 in interest from a bank, brokerage, or other financial institution during the 2021 tax year, you likely saw one or more Form 1099-INTs arrive in your mailbox sometime in February.
What Is Power of Attorney and How Does It Work?
Power of attorney (POA) sounds like a legal concept, but it doesn’t have to involve lawyers at all. The American Bar Association states that a power of attorney gives one or more persons the authority to act on your behalf as your agent. This power can be temporary or permanent, and it can be limited to a specific activity (such as buying and selling assets) or covering any activities. You can confer this authority to your lawyer, but you can also direct it to your spouse or best friend. You can also make such a determination effective immediately or subject to some potential future occurrence (such as your future inability to act on your own behalf).
What Are the 7 Tax Brackets?
The IRS tax brackets divide income by taxable levels. Different tax rates are applied at each level. The more you make, the higher the tax rate. The tax system is also progressive. This means if you make $80,000 in a year, the entire amount is not taxed at 22%. It is divided into three tax brackets made up of 10%, 12%, and 22%.
What Is Transfer on Death and How Does it Work?
Planning for the orderly disposition of one's assets at the time of death is typically done through a will and possibly establishing a trust or trusts. A will is sometimes called a last testament and is a document that states how a person's assets are to be distributed after their demise. A will can also be used for other instructions and functions, such as naming a guardian for minor children. It's important to note that a will does not take effect until the death of the person who created it (they can change it as long as they are living and mentally competent to do so).
What Is Sponsor Risk in Real Estate?
Sponsors are the representatives of real estate deals for investors and developers. To maintain a good reputation and continued deal flow, sponsors need to provide high-quality service, which means a smooth deal transaction from beginning to end.
Who Pays for Estate Taxes and How Much Do They Pay?
Taxes owed on a family member's estate after the death can be very high. This tax is called an estate tax, inheritance tax, and death tax. Up to a certain amount (i.e., the estate's value), taxes are not owed. After that amount is surpassed, taxes are owed by those inheriting the estate. We'll go over the estate tax details in this article, who pays it, and how much they'll pay.
Cryptocurrencies as an Alternative Asset: What You Need to Know
Cryptocurrencies may seem mysterious, but they do have a pretty simple definition:
What Is Severing a Joint Tenancy?
Joint tenancy is the equal ownership of property by two or more people with the right of survivorship. Each owner has an equal, undivided share of the property, and if one owner dies, their portion is divided among the remaining owners. Joint tenancy is commonly used with two owners, but it can have more. Joint tenancy by a married couple owning a home is typical, but friends sharing a vacation home or investment property is also an appropriate use of the structure.
Are REITs Considered Fixed Income?
To explore whether Real Estate Investment Trusts (REITs) are fixed income investments, it will be helpful first to examine what a REIT is and what a fixed income investment includes.
