Allebest & Associates

(949) 454-1774 - Phone
(949) 454-2550 - Fax

ESTATE PLANNING

We are certified as Specialists in Probate and Estate Planning by the State Bar of California. Our expertise covers everything from the simplest to the most complex of estates, including helping clients comply with the laws of both national and multi-national jurisdictions. Our estate planning practice includes the following:

PRINCIPAL OBJECTIVES

A. PROBATE AVOIDANCE

Avoid the COST of probate (4-8% of the FMV “gross”).
Avoid the DELAY of probate (1-2 years in court).
Avoid the COMPLEXITY (it’s a complex maze).
Avoid the PUBLICITY (the public has access to details).
Avoid the CONTESTS (it’s easy to contest an estate during probate).

B. ESTATE TAX AVOIDANCE

The Estate Tax is on “net” worth + life insurance (due in 9 months).
The Unlimited Martial Deduction = no tax for the surviving spouse.
The Unified Credit, starting in 2014 = $5,340,000 free of tax at death.
An A/B Trust doubles the credit = $10,680,000 tax free from H&W.
The Charitable Deduction = no tax on funds to charity.

C. ORDERLY PLAN OF DISTRIBUTION

Provide care for minor or handicapped children/grandchildren.
Postpone distribution if heirs are too young to receive the estate.
Provide management if heirs are inexperienced in handling money.
Avoid fighting among family members over the distribution.

Orderly Plan of Distribution

MEDIUM SIZE ESTATES

For couples worth MORE than $5,340,000 starting in 2014.

CREDIT SHELTER TRUSTS

Double the Unified Credit, allowing couples to pass $10,680,000 estate tax free from 2014.

Medium Size Estates

Secures a “Unified Credit” for EACH spouse of $5,340,000/ea starting in 2014.

GIFTS IN TRUST

Annual or periodic gifts to adult or minor children may be placed in trust for future distribution.

LIFE INSURANCE TRUSTS

Removes insurance proceeds from the taxable estate, free of creditors.

SMALL ESTATES

For singles worth LESS than $5,340,000 in 2014, and
For couples worth LESS than $5,340,000 in 2014

SIMPLE FAMILY TRUSTS

Simple Family Trusts

a) Provides a vehicle to manage the assets
b) Avoids conservatorships
c) Avoids probate (and its cost, delay & publicity)
d) Provides an orderly Plan of Distribution
(e.g., distribute inheritance in installments)

ANNUAL GIFTS

TO FAMILY/FRIENDS
In year 2014 each person can gift $14,000/per recipient to any number of people they want;
PLUS you can gift up to $5,340,000/ea of your “Unified Credit” during your lifetime, instead of using it at death

TO CHARITY
Each year you can also gift an unlimited amount to charity.

LARGE SIZE ESTATES

PRIVATE FOUNDATIONS

Create your own Tax-Exempt Foundation or Charity
a) “The secret to wealth is to own nothing, but control everything”
b) Include generations in the “circles of influence”
c) Large tax deduction d) Estate tax avoidance
e) Creditor protection f) Ongoing contribution to community

CHARITABLE TRUSTS

a) No income tax on sale of assets
b) Increased cash flow for lifetime c) Large tax deduction
d) Diversify portfolio e) Estate tax avoidance f) Creditor protection
g) Increased inheritance - Gift to community

FAMILY LIMITED PARTNERSHIPS

a) Protects assets from creditors b) Discounts the value of business, farm, property, stock c) Lets you start transferring assets to family now
d) You maintain full management and control

QUALIFIED PERSONAL RESIDENCE TRUSTS

Put your residence into trust and live in it for a period of years. If you survive the period, the house is distributed, free of estate tax. Any gift tax due on the original transfer is reduced by the discount.


ESTATE PLANNING
(Objectives & Tools)


Maintain Control Over Your Person & Your Affairs

  • Powers of Attorney: Property Mgmt
  • Powers of Attorney: Heath Care
  • Living Wills
  • Living Trusts
  • Long Term Health Care
  • Disability Protection

Reduce Income Taxes

  • Family Corporations
  • Family Limited Partnerships
  • Charitable Remainder Trusts (CRAT’s, CRUT’s & NIMCRUT’s)
  • Charitable Lead Trusts
  • Private Foundations
  • Conservation Easements
  • Off-Shore Corporations

Pass Values & Responsibility to Family Members

  • Revocable Living Trusts
  • Wealth Replacement Trusts
  • Educational Trusts
  • Charitable Trusts (CRAT’s, CRUT’s & NIMCRUT’s)
  • Dynasty Trusts
  • Testamentary Foundations
  • Private Foundations

Avoid the Expense and Delay of Probate

  • Funded Revocable Living Trusts
  • Nominee Partnerships
  • Powers of Attorney: Property Mgmt

Assure Your Lifestyle

  • Qualified Retirement Plans
  • Non-Qualified Deferred Comp Plans
  • Salary Continuation Plans
  • Charitable Remainder Trusts (CRAT’s, CRUT’s & NIMCRUT’s)
  • Grantor Retained Annuity Trusts (GRAT’s & GRUT’s)
  • Off-Shore Corporations

Protect Yourself Against Lawsuits & Government

  • Limited Liability Companies
  • Charitable Trusts (CRAT’s, CRUT’s & NIMCRUT’s)
  • Family Limited Partnerships
  • Private Foundations
  • Off-Shore Trusts
  • Off-Shore Corporations

Protect the Value of the Family Businesses

  • Business Continuation Planning
  • Liquidation Planning
  • Family Split Dollar Planning
  • Irrevocable Life Insurance Trusts
  • Charitable Trusts (CRAT’s, CRUT’s & NIMCRUT’s)
  • Employee Stock Ownership Plans
  • Dynasty Trusts

Avoid Federal Gift & Estate Tax

  • Split Gifts
  • Irrevocable Life Insurance Trusts
  • Qualified Trusts (QTIP’s & QDOT’s)
  • Qualified Personal Residence Trusts
  • Grantor Retained Annuity & Unitrusts
  • Family Limited Partnerships
  • Charitable Remainder Trusts
  • Charitable Foundations

Allebest & Associates can help you with any estate planning issues. Call today for a free, no obligation consultation (949) 454-1774 or

Call today for a free, no obligation analysis of your situation:
(949) 454-1774 or