Wealth Transfer

Most people aren’t fully aware of what wealth management entails, so we at Truuwater are writing a series on the 5 main components of wealth management. After highlighting wealth preservation and wealth enhancement, we’re continuing our series with wealth transfer.

Wealth transfer is leaving assets to your family and other heirs. To ensure your wishes are carried out, an up-to-date estate plan is crucial. Without a will, your wealth is distributed based on intestate succession laws, preventing you from supporting charity and certain loved ones. Even if you have a plan in place, review it regularly to ensure it continues meeting your needs. We recommend once every 3-5 years or following any major life events, such as a birth or marriage.

Individuals with large estates must also consider taxes and other expenses. The 2017 Tax Cuts and Jobs Act raised the gifting and estate tax exemption to $11,180,000 per person. Estates above this amount are subject to federal taxes of up to 40%. A few states, such as Washington, Massachusetts, and Hawaii, add their own estate or inheritance taxes. Sometimes, particularly with large illiquid holdings such as real estate, heirs may struggle to cover taxes and other estate costs.  Life insurance may provide needed extra liquidity in such situations.  To determine what is best for you and your family, contact your estate planning attorney today.


Stratos Wealth Partners and its affiliates do not provide tax, legal or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction.