Thomas H. Sullivan
Attorney at Law
How to Handle Savings Bonds in Estate Planning
Posted on: June 3rd, 2020
A savings bond is defined as “a debt security issued by the U.S. Department of the Treasury to help pay for the U.S. government’s borrowing needs.” In effect, when you buy a savings bond, you are loaning the U.S. government money which is repaid with interest after a fixed period of time....
State Estate and Inheritance Taxes
Posted on: May 17th, 2020
The federal gift and estate tax exclusion is currently very high—$11.58 million for an individual and $23.16 million for a married couple in 2020. As a result, only very wealthy people currently need to be concerned that their estates will be taxable at the federal level, at least until 2026, when the increased exclusion amount is scheduled to return to the $5 million (adjusted for inflation) exclusion in place before the 2017 Tax Cuts and Jobs Act. But even if you are not among those who currently need to plan to avoid federal estate tax liability, some states have their own estate tax and a few have an inheritance tax (there is no federal inheritance tax). Only one state—Maryland—has both an estate and inheritance tax. State exclusion amounts are typically much lower than the federal estate tax exclusion, so it is important to make sure that your estate planning takes this potential tax liability into account....
Caught in the Undertow
Posted on: May 12th, 2020
Many people love to spend part of their summer vacation at the beach, enjoying the ocean and sunshine. But there may be unseen dangers that are crucial for beachgoers to keep in mind: For example, the undertow is a current of water, often quite powerful, below the surface, that is moving away from shore when waves are approaching it. It can easily knock a smaller person off balance and could be dangerous for those who are not strong swimmers. As a result, it is very important to take steps to protect family members from this danger. Likewise, there are a number of dangers associated with failing to put a well-thought-out estate plan in place that could make your family members feel as though they are drowning if you were to pass away....
Can a Non-U.S. Citizen Create an Estate Plan in the U.S.?
Posted on: April 10th, 2020
The United States has experienced a surge in immigration since 1970, and there are now approximately 45 million foreign-born people living in the United States. Some of them have become U.S. citizens, but many non-citizens live in the United States as well. In 2019 alone, approximately 1,031,000 foreign nationals obtained lawful permanent resident status. It is not only permissible, but essential for those individuals, like U.S. citizens, to have estate plans in place. There are a number of special issues non-citizens may need to consider....
COVID-19: A Reminder of Why Estate Planning Is Important
Posted on: April 7th, 2020
Coronavirus has been all over the news—and with good reason. For some people, it can turn into a serious illness if contracted. Thankfully, for the great majority of people who have contracted the disease, the symptoms appear to be relatively mild. Nevertheless, it is crucial for everyone, particularly those who are in good health, to continue to take all the steps necessary to protect those around us who are more vulnerable to becoming seriously ill if they are exposed to the coronavirus...
Posted on: March 18th, 2020
Many people own property in more than one state—perhaps a vacation home in Florida, a rental property in a former home state, or even a car titled in another state. It is important to think about how that property will be handled as you create an estate plan. It may be necessary for there to be an additional probate proceeding called ancillary probate. Through proper estate planning, however, this result can be made less burdensome or even avoided....