In these tough economic times, those parents who have buttoned up their Florida estate plan to leave everything to their children and grandchildren upon their deaths may want to think about loosening the strings a little before they go and receive the added benefit of saving on estate taxes as well.
A married couple can provide a gift of $30,000 per year to a child or grandchild with no gift tax due. In 2019, the number of gifts you can give as a couple is unlimited, but it is restricted to no more than $30,000 per calendar year per married couple, or $15,000 per year per spouse.
Generally speaking, the recipient of your gift will not have to pay any federal gift tax or income tax. And it shouldn’t affect your federal income tax either.
With many adults jobless and their children struggling as well, this could be a financial lifesaver for family members who need the help now, not when you’re gone. Even if the recipient is not jobless, the extra money can help fund retirement accounts or pay off debt that will result in a much better financial life for your loved ones.
The Dorcey Law Firm, PLC is an Estate Planning, Asset Protection and Business Planning law firm with offices in Fort Myers, Florida and Naples, Florida. Our firm is dedicated to its clients, the rule of law and the betterment of the Southwest Florida community.
It is our drive to provide our clients with the highest level of legal services in the areas of Last Will and Testaments, Living Trust, Irrevocable Trusts, Estate Planning, Asset Protection, and complete Business Planning. If you or someone you know needs assistance with Florida estate planning, please contact us today to schedule your free consultation.