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Ocean’s 14

Rande Gerber, husband of Cindy Crawford, recently told a TV program that George Clooney gave $1 million to 14 of his long time buddies four years ago. Clooney invited his friends to his house for dinner and presented each of them with an expensive leather suitcase.

When the friends opened them, each found $1 million in $20 bills. Clooney told them he had appreciated their friendship and wanted to help those who were struggling. He also said he had paid their taxes on the gift. Gerber did not want to take the money, but Clooney said no one would get their money if Gerber did not take his.

Several points:

1. This generosity resulted in a gift tax of $3.0 million to Clooney. In 2013, gifts to an individual in excess of $14K and beyond the $5.25 million exemption were taxed at 35%.

2. Despite his statement about paying their taxes, Clooney was obligated to pay the gift tax – the donor is always liable for the gift tax owed.

3. Having won the lottery twice – marrying Cindy Crawford and selling his Casamigos Tequila brand for $700 million – Gerber donated his million to charity to keep his good karma flowing.

Photo Credit:  Reuters

License:  Fair Use/Education

The Curious Case of Brangelina

Not being a reader of People magazine, I missed the news of the Brad Pitt- Angelina Jolie August wedding.  I had assumed they were married years ago.  Apparently they executed a fairly public pre-nuptial agreement prior to their wedding.  The agreement provides that in the event they divorce they will each keep their respective assets but any marital assets will mostly benefit their children and various global orphanages.  The odd provision is that in the event Mr. Pitt is unfaithful due to Ms. Jolie’s children penchant for adopting children as if they were Tamagotchi, she will receive most of the custody rights for the children.

Several points:

1.  Pre-nuptial agreements are advisable in the event of second marriages or where there is disparate wealth between the parties.  When both parties are Hollywood A Listers with similar net worths, they are more for show than practical effect.

2.  The behavior clause about infidelity of Mr. Pitt is unlikely to be enforced by a court.

3.  Am I the only one who appreciates the coincidence that Mr. Pitt finally tied the knot with Ms. Jolie only a month before his bromance  buddy, George Clooney, married?

4.  Presumably Angelina will keep the vial of Billy Bob Thornton’s blood in the event of a divorce.

angelina-jolie-and-brad-pitt-are-now-husband-and-wife-wedding-held-in-

 

 

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All Posts By Jay Brinker

I am an attorney located in Cincinnati, Ohio who practices in the areas of estate planning, probate, asset protection, and small business advice. I make a difficult and bewildering process as simple as possible. Most importantly, I provide "more for less" for my clients.