Heading into 2021 you may have more questions than you do assurances. A new presidential administration is raising questions about how estate taxes will be impacted. The world is still being rocked by a pandemic and no one is sure of their immediate future. This is an appropriate opportunity to step back, review and take stock of where things stand.

Identify the Gaps

A financial risk and estate management investigation is a good opportunity here to identify where your gaps are and determine next steps. Start by going over all of your investment accounts. Determine if you’re aware of all the fees associated with your accounts, if the asset allocation is what you hoped and if you have any leftover IRAs or other orphan accounts.

Review Beneficiaries

When it comes to evaluating your IRAs, take a look at your beneficiary forms and ensure they are in line with what you had hoped, consider backdoor Roth if your income is over, contributions on behalf of a non-working spouse, the benefits of converting to a Roth and other implications. You may be able to increase your contributions with other plans, such as 401(k)s, 403(b)s and 457(b)s.

Evaluate Digital Planning

When it comes to your estate plan, consider whether or not your digital legacy is protected, your durable power of attorney is up to date, and your trust and wills are up to date. If you need support in amending any of these documents or you’ve moved somewhere new and need help creating ones relevant for your new state, schedule a consultation with an estate planning lawyer.

No matter what you hope to accomplish with your estate plan, the choices of how you structure it are up to you. Leverage the help of an estate planning attorney in Pasadena to create the right plan for you.

Comments are closed.