Kent Larsson writes about the proper use of wills, advance directives, trusts, and other estate planning tools, and how how they play a vital role in you receiving proper medical care and helping you to preserve and pass on your assets to your loved ones.
There will most likely be some discussion before a tax proposal becomes a tax law.
There may be a heavy impact from a new tax law on charities making it less likely that people will donate to them, according to Reuters in "New U.S. law could curb charitable donations."
The Senate and the House of Representatives have both passed their own version of a tax reform bill but they remain far apart and negotiations are likely.
One thing the final bill might do is double the standard tax deduction people can take instead of itemizing their deductions. That would make it less likely that people will give to charities at the end of the year to lower their tax bills.
The other worry for charities is the gradual repeal of the estate tax that has been proposed.
Wealthy people often give to charities as a way to shrink the size of their estates to avoid the tax. If that is the sole motivation for giving, then charities could lose out.
Reference: Reuters (Nov. 30, 2017) "New U.S. law could curb charitable donations."
Giving to charity is often more complicated than writing a check for a donation.
While you can create a charitable legacy through several different methods, donor advised funds are gaining in popularity as a good way to do so, according to the Wills, Trusts & Estates Prof Blog in "The Rise of Donor Advised Funds."
With a donor advised fund, you can invest money now that will be used for charity later. The donor gets an immediate tax benefit and can invest however much he or she wants.
Contributions can be made over time or all at once, whichever is more beneficial. The donor does not have to actually advise how the funds are invested, if not interested in doing so. However, they can, if they are interested.
An estate planning attorney can guide you in creating a charitable legacy that fits your unique circumstances.
Reference: Wills, Trusts & Estates Prof Blog (May 18, 2017) "The Rise of Donor Advised Funds."