Paul Daugherty of the Cincinnati Enquirer has once again graciously allowed me to guest write his The Morning Line blog.
Paul Daugherty of the Cincinnati Enquirer has once again graciously allowed me to guest write his The Morning Line blog.
Happy New Year. Moving into 2013, my previously mentioned horrible prognostication abilities did not end when 2012 ended. I did not foresee Congress making the $5 million unified credit permanent. The unified credit is the amount of money one can give away tax free during life or at death. Although in some fairness, I am not sure anyone in the estate planning community foresaw it either.
Quick estate planning facts from the fiscal cliff legislation:
1. Unified credit is $5 million and will be indexed for inflation.
2. The estate tax rate will be 40%.
3. The unified credit is portable which means that the first spouse to die does not need a trust to utilize the credit.
For the rest of 2013, I will be out of the prediction game save for Alabama defeating Notre Dame next week (with fingers crossed that I am wrong and ND wins the National Championship).