Individuals or married couples can be eligible for diverse tax credits, including:

• Child and Dependent Care Credit. Congress created this credit to help people struggling with expenses related to caring for dependents. The child and dependent care credit doubled from 2017 to 2018.
• Lifetime Learning Credit. The purpose of this credit is to use tax relief to encourage education. Qualifying students can get credits worth up to $2,000 to pursue undergraduate degrees, advanced degrees, and some non-formal degrees.
• Mortgage Interest, Homeowners can deduct their mortgage interest for both their primary home and any home equity lines (up to $1,000,000 for single individuals and $500,000 for married individuals filing separately), if those lines are used to improve the home. The amount you can deduct depends on your income bracket.
• Medical Expenses. People can only deduct medical expenses when these costs are over 7.5% of their adjusted gross income.
• IRA Deductions. Individual Retirement Arrangements, call IRAs, allow people to put aside money for retirement. Depending on the situation, contributors may be able to deduct some of all of those funds.

This list obviously just scratches the surface. Speak with an experienced accountant or tax attorney to learn which deductions you qualify to get.

Businesses and corporations an also qualify for many tax credits, including:

• Work Opportunity Expense Credits. The government offers these credits to businesses that hire staff who have traditionally faced barriers to job security (e.g. veterans). These credits are calculated in accordance with the wages paid to staff and they can add up to $4,500 in savings annually.
• Rehabilitation, Energy and Reforestation Credits. Companies making investments in reforestation and alternative energy procedures can qualify for a tax credit for 10% of expenses. This is typically limited to $10,000 annually.
• Small Business Healthcare Credit. If your small business employs fewer than 25 full-time employees and pays at least half of their health insurance premiums, then you may be able to use this deduction.
• Retirement Plan Startup Credit. Small businesses that establish retirement plans may be eligible for a credit if they don’t have more than 100 employees and haven’t had a qualified retirement plan during the three years previous to the new plan.
• Disability Access Credit. Per the Americans with Disabilities Act (ADA), all businesses must be accessible to people with disabilities. If your business has made accommodations for the disabled, the costs of those additions may be deductible.

Depending on your business’s size and industry, there may be further deductions. Discuss the details with a qualified tax law attorney to clarify what you can claim.

If you have questions about estate planning and taxes, call an estate planning attorney, like an Estate Planning Lawyer Belgrade, MT, today.

Thank you to Joel Silverman, Attorney and Author, and the experts at Silverman Law Office, PLLC, for their insight and expertise in estate planning and tax implications.

The first step to a solid estate plan is to create your living will. This is the document that informs your loved ones what your wishes are regarding your property, assets and more. When you don’t have a will, then there will be a lot of questions about what to do with your property after you die. In many cases, it will be up to the court to decide what your wishes were. Now, when drafting a will, it might be tempting to add everything. The truth is that there are types of property that you should not include when you make your will.

Trust Property

Often, people will use trusts to avoid probate altogether. Wills, on the other hand, do not avoid probate. If you have a trust for some of your property, then you can leave those assets in the trust. Do not include them in your will because those assets are already being managed by the trustee and will automatically go to your beneficiaries if something were to happen to you.

Life insurance Proceeds

A lot of life insurance proceeds already have a beneficiary. For instance, if your proceeds go straight to your spouse or to your children, then you do not need to put them into the will. These already have a plan and will go straight to the loved ones who are your beneficiaries.

Joint Tenancy Property

Joint tenancy property goes straight to the joint tenant if you were to die. Hence, if something happens to you, then your share of the property goes to that person. It doesn’t matter what your will says about that specific property, it would go to the joint tenant.

Retirement Plan Proceeds

Retirement plan proceeds and any money from pensions or 401(k)s do not need to be included in your will. There is an area in your retirement plan to list who your beneficiary is. If you have a beneficiary listed, then there is no reason to include it.

It can be tempting to add everything to your will to be careful. The truth is, however, that you do not have to add everything to your will. There is some property that is already taken care of. As you draft your checklist of what to include in your will, it may help to speak with a top estate planning lawyer in Folsom, CA. He or she can guide you through the process and make sure that you include the necessary assets. For more information, set up a consultation with a lawyer.

Thanks to Yee Law Group for their insight into estate planning and tips for wills.

You have probably heard that the probate process is one that should be avoided at all costs. While this may carry some measure of truth, it is often regarded as a necessary step after death. Creating a will is something that every person should do when they either own property or have children. A will is a blueprint for how you want your affairs handled after death. However, there is a process that has to occur in court to ensure that things go smoothly. Understanding probate may help guide you through the best ways to tackle your estate planning.

Probate Opens

Probate begins when a will is filed with the court. This is done by the estate planning lawyer who has the original will, or the administrator may do it. This is the person named in the will to take all necessary action on behalf of the deceased. The court publishes a notice that probate is open. This gives debtors and anyone who believes they have a claim against the estate time to submit paperwork.

The Administrator Gives an Accounting

After probate opens, the administrator is responsible for gathering an accurate accounting of all assets and debts. All accounts must be tallied up and the information provided to the court. Once this is done, the court will order all creditors to be notified and given statutory timeframes to respond.

The Administrator Pays Debts

Once the timeline expires, the administrator must pay all outstanding debts or return items held by collateral to the creditor. For example, vehicles may be repossessed by the lender. The administrator may have to sell assets, such as stocks, to pay for any debt shortfall. The heirs named in the will are notified.

Heirs Get Their Inheritance

The administrator pays the heirs per the will after all claims against the estate have been paid. In some cases, there is not enough money left to pay the heirs everything they are to get.

Probate Closes

After the administrator drains the estate and there is no more money or property left to dispose of, they file a letter with the court informing them of this. The court will then review the information and order probate closed.

This is a simplified explanation, and every jurisdiction has different rules for probate. Speaking with an estate planning lawyer, like an estate planning lawyer in Arlington, TX, can help you with any questions or procedures regarding probate. These professionals may also be called upon to represent you should you not want to deal with it yourself.

Thanks to Brandy Austin Law Firm, PLLC for their insight into some of the basics of probate.