Estate Planning & Probate

Nebraska is one of six states that imposes an inheritance tax when a resident of Nebraska, or an owner of land located in Nebraska, passes away. Spouses and charities are exempt. For transfers to other immediate family members, namely parents, siblings, children, and grandchildren, the inheritance tax rate is 1% on the value of the property that passes to each person over an exemption amount of $40,000 per person. For transfers to remote relatives (e.g., aunts, uncles, nieces, and nephews), the inheritance tax rate is 13% on amounts over an exemption amount of $15,000 per person. For transfers to unrelated […]

With the election of President Biden, coupled with the Democrats taking control of the House and Senate, there may be changes to the federal estate and gift tax-related laws.  However, due to the debate over legislation related to Covid-19 stimulus plans, some think the complex estate tax law changes may not be considered until the fall of 2021. Biden’s proposed changes to federal estate tax laws include: Reducing the estate tax exemption to $3.5 million; Increasing the federal estate tax rate to 45%; Eliminating the step-up in basis to the date of death fair market value of appreciated assets. Current […]

There are many reasons to include a trust in your estate plan. While you may think of trusts being used by wealthy individuals, there is no wealth requirement to establish a trust rather it is about choice and control. A trust is a legal document created to accomplish certain family, tax, or other financial objectives. Think of a trust as a private agreement between the person who creates the trust (called “grantor” or “settlor” – same meaning) and the person the grantor designates to manage the trust assets (called the “trustee”) for the benefit of the trust’s “beneficiaries.” There are […]