7,000 IRS Employees, FIRED: Why Now is the Time to Secure Your Estate

The IRS just fired about 7,000 employees. Janet head-hunted an auditor from this exodus. Please bear with us as we navigate these whitewater rapids. We will get her up to speed using her understanding, skill, and talent to guide your real estate decisions.

Crazy things happen without warning, so being prepared makes sense-every day.

That's why I like to use tax season as an opportunity to encourage you to handle other kinds of tasks that just never get done unless you artificially create the needed momentum within yourself.

Today is the day when I'm urging you to take care of this crucial business. Don't delay, act now.

An Easy Tax Add-On: Estate Plans

As we have seen this year, life can turn on a dime ... and we can't plan for every one of the specific ways it may do so. But we CAN plan broadly.

For me and my family, we've put some simple plans in place for a VARIETY of circumstances, not just financial or legal. And it truly helps us sleep better at night, knowing we have it all covered and can face any unexpected turn of events confidently.

Unfortunately, the most recent numbers indicate that almost 60% of Americans lack a basic will, and that's a big problem.

One big reason most families don't have an estate plan is incorrect thinking about whether it's right for them or even necessary. Sure, some just haven't gotten around to creating a will or trust. Others think they don't need one because they're not "rich."

I've even heard from people that they don't want to put it in place because when they do, it's sending some death wish into the universe (or some such).

STARK REALITY

Here's the stark reality: If you continue without an estate plan, you could (instead) leave a legacy of discord and hefty attorneys' fees. Don't let this be your legacy.

Since it's currently 'tax season,' it's a strategic time to have your estate plan in place. Once your return is filed, you've already compiled your financial documents, making the planning process more manageable.

Or are you still tripping up on these myths?

Myth 1. "Only rich people prepare estate plans."

Do you own ANYTHING? Because if so, you need a will. A will allows you to designate who will receive your property should anything happen. Without one, Your State may choose where your estate and assets get distributed. It's called "intestate succession" laws. That means your money and property could end up with family members you haven't spoken to in years instead of who you'd really like to benefit from your assets. Having a will gives you the power to decide your legacy.

I won't discuss all of the components of a will, trust, or health care directive, as my purpose is to emphasize that failing to plan is simply a decision to trust your assets to government bureaucrats.

Even if your situation is pretty straightforward, you may feel more comfortable hiring a lawyer to guide you. Remember, it's not as complicated as it may seem, and there are professionals who can help you every step of the way.

Myth 2. Everything goes to your spouse if something happens.

Unfortunately, that's not always the case. We take care of clients from different States around the country, and I can tell you that State laws vary, whether for taxes, States, or anything else. In most States, if you continue without a will (intestate), your inheritance will be divided among your spouse and children. In New York, for example, when someone dies intestate, the spouse gets the first $50k of the estate, and what's left is divided 50-50 among the spouse and the children.

You can imagine how this could create all kinds of problems, mainly if your spouse was financially dependent on you or you had children from a previous marriage.

I'll send a few more in the weeks ahead, but I hope you can already see that things are not always as we "think."

BE THE ROAR not the echo®

Warmly, Janet, The Tax Wizard