Search found 4294 matches

by Gill
Tue Jun 19, 2018 7:15 pm
Forum: Personal Finance (Not Investing)
Topic: Partial Owner of Inherited Family Farm/Land
Replies: 14
Views: 1631

Re: Partial Owner of Inherited Family Farm/Land

MathWizard wrote:
Tue Jun 19, 2018 12:42 pm
Was an IRS form 706 filed?

People file these even when they are not required, because this establishes a value to
use for the step up basis on the land.
They do? Never seen this done. Seems unnecessary. Why not just get an appraisal.
Gill
by Gill
Tue Jun 19, 2018 11:47 am
Forum: Personal Finance (Not Investing)
Topic: Dealing with a trust in Florida
Replies: 27
Views: 970

Re: Dealing with a trust in Florida

But this case involves a small estate and only one child. With only one child there's no risk of one child not cooperating. With a small estate, absent a disability or a greater than usual risk of estate tax in the child's estate, or creditors, spouses or Medicaid, or the child predeceasing the par...
by Gill
Tue Jun 19, 2018 10:09 am
Forum: Personal Finance (Not Investing)
Topic: Dealing with a trust in Florida
Replies: 27
Views: 970

Re: Dealing with a trust in Florida

If it just is a conduit to get the money to your wife it may not have been necessary, but I'm not sure I would trouble a 95 year old relative to change something that is unnecessary but not harmful. A very minor nuisance to your wife at worst. If the trust keeps the money in trust for your wife's l...
by Gill
Tue Jun 19, 2018 9:17 am
Forum: Personal Finance (Not Investing)
Topic: Dealing with a trust in Florida
Replies: 27
Views: 970

Re: Dealing with a trust in Florida

Yes, but what does the trust say? Does it keep it in trust for your wife's lifetime or for some period less than that or does it leave it to her outright? If the trust is simply a conduit for the Vanguard account to be paid to the trust and the trust in turn distributes to your wife I don't see any ...
by Gill
Tue Jun 19, 2018 8:59 am
Forum: Personal Finance (Not Investing)
Topic: Dealing with a trust in Florida
Replies: 27
Views: 970

Re: Dealing with a trust in Florida

tadamsmar wrote:
Tue Jun 19, 2018 8:03 am
I wonder if it would be better to simply name my wife as the beneficiary on my mother in law's Vanguard account.
For all you know at this point, this might be totally inconsistent with the intended estate plan. As mentioned above, her entire estate might be held in trust for charity.
Gill
by Gill
Tue Jun 19, 2018 6:04 am
Forum: Personal Finance (Not Investing)
Topic: Dealing with a trust in Florida
Replies: 27
Views: 970

Re: Dealing with a trust in Florida

There are no raised seals for living inter vivos trusts. You are thinking of a probate estate administration.
Gill
by Gill
Mon Jun 18, 2018 8:52 pm
Forum: Personal Finance (Not Investing)
Topic: Dealing with a trust in Florida
Replies: 27
Views: 970

Re: Dealing with a trust in Florida

My mother in law's Vanguard (taxable) account is in her name and the beneficiary is the trust. It would be better to have the account in the name of the trust so that in the event of her incapacity the trustee could manage it for her benefit. Gill (1) My wife is her POA. (2) My wife and I both have...
by Gill
Mon Jun 18, 2018 8:25 pm
Forum: Personal Finance (Not Investing)
Topic: Dealing with a trust in Florida
Replies: 27
Views: 970

Re: Dealing with a trust in Florida

tadamsmar wrote:
Mon Jun 18, 2018 8:21 pm
My mother in law's Vanguard (taxable) account is in her name and the beneficiary is the trust.
It would be better to have the account in the name of the trust so that in the event of her incapacity the trustee could manage it for her benefit.
Gill
by Gill
Mon Jun 18, 2018 6:01 pm
Forum: Personal Finance (Not Investing)
Topic: Dealing with a trust in Florida
Replies: 27
Views: 970

Re: Dealing with a trust in Florida

Is this a revocable living (inter vivos) trust or a testamentary trust created by the will? Gill I don't think it is created by a will, there is a separate document. It's in our lock box, or at least a copy if it is there. If it i RLT, and you are designated trustee you should be able to carry out ...
by Gill
Mon Jun 18, 2018 5:48 pm
Forum: Personal Finance (Not Investing)
Topic: Dealing with a trust in Florida
Replies: 27
Views: 970

Re: Dealing with a trust in Florida

Is this a revocable living (inter vivos) trust or a testamentary trust created by the will? Gill I don't think it is created by a will, there is a separate document. It's in our lock box, or at least a copy if it is there. If it i RLT, and you are designated trustee you should be able to carry out ...
by Gill
Mon Jun 18, 2018 4:59 pm
Forum: Personal Finance (Not Investing)
Topic: Dealing with a trust in Florida
Replies: 27
Views: 970

Re: Dealing with a trust in Florida

Is this a revocable living (inter vivos) trust or a testamentary trust created by the will?
Gill
by Gill
Mon Jun 18, 2018 4:41 pm
Forum: Personal Finance (Not Investing)
Topic: Dealing with a trust in Florida
Replies: 27
Views: 970

Re: Dealing with a trust in Florida

Normally not difficult at all and its administration can often be accomplished without the involvement of the court or attorneys depending on the size and complexity of the assets, terms of the trust and nature of the beneficiaries.
Gill
by Gill
Mon Jun 18, 2018 7:31 am
Forum: Personal Finance (Not Investing)
Topic: Sanity Check on House Purchase
Replies: 13
Views: 1645

Re: Sanity Check on House Purchase

Biggest question is the HVAC unit. Going to call some HVAC techs to come and just inspect the house this week. Heating isn't common in Florida 8-) Maybe for a day or two in the winter. Usually only gets down to 50 degrees or so as a low. In the summer, forget about it. Just curious what part of Flo...
by Gill
Sun Jun 17, 2018 5:59 pm
Forum: Personal Finance (Not Investing)
Topic: How much (green) cash at home for emergency ?
Replies: 75
Views: 5394

Re: How much (green) cash at home for emergency ?

In Florida, it's best to have 8 or 10 red (or yellow) five-gallon containers of fuel for your car at home. When times get tough, merely having lots of cash won't help in this department... Never heard that before, and I’ve lived in Florida much of my life. Sounds like a potential disaster to me. We...
by Gill
Sun Jun 17, 2018 9:44 am
Forum: Personal Finance (Not Investing)
Topic: Partial Owner of Inherited Family Farm/Land
Replies: 14
Views: 1631

Re: Partial Owner of Inherited Family Farm/Land

I reckon I should suggest that my wife try to get a specific appraisal on this and any other portions of the property which differ (farmable, wetlands, etc). In a rural area I don't imagine an appraisal would be terribly expensive and it should help give you an idea of the value of the land, possib...
by Gill
Sun Jun 17, 2018 7:53 am
Forum: Personal Finance (Not Investing)
Topic: Partial Owner of Inherited Family Farm/Land
Replies: 14
Views: 1631

Re: Partial Owner of Inherited Family Farm/Land

It still can be appraised with the appraiser using as of the date of death value. Also, if you sell it reasonably soon your basis should be equal to sales price.
Gill
by Gill
Sat Jun 16, 2018 8:46 pm
Forum: Personal Finance (Not Investing)
Topic: A relative has named me in a trust
Replies: 6
Views: 1193

Re: A relative has named me in a trust

Nothing you need to know at this point. Because it is in a trust, you might not be receiving property outright but it may be held in trust for you. You really won’t know until the creator of the trust dies and you are contacted by the trustee or the attorney.
Gill
by Gill
Fri Jun 15, 2018 6:48 pm
Forum: Personal Finance (Not Investing)
Topic: Deduct volunteer work?
Replies: 4
Views: 381

Re: Deduct volunteer work?

No, the value of your time is never deductible.
Gill
by Gill
Fri Jun 15, 2018 2:36 pm
Forum: Personal Finance (Not Investing)
Topic: How to find a good CPA?
Replies: 8
Views: 567

Re: How to find a good CPA?

IRS assumes your basis is zero on securities sold. Send them the correct information and you'll be fine.
Gill
by Gill
Fri Jun 15, 2018 10:43 am
Forum: Personal Finance (Not Investing)
Topic: How to find a good CPA?
Replies: 8
Views: 567

Re: How to find a good CPA?

Not sure you need a CPA. Why not just call the IRS and discuss it with them.
Gill
by Gill
Wed Jun 13, 2018 7:45 pm
Forum: Personal Finance (Not Investing)
Topic: best way to receive large sum of money from another country
Replies: 34
Views: 2323

Re: best way to receive large sum of money from another country

sil2017 wrote:
Wed Jun 13, 2018 7:36 pm
Thanks everyone for your suggestions . I used to bank at TD so I will ask . I rather not convert from CDN to USD if possible .
If you’re happy holding CDN, that seems to be the best bet. Open an account at TE Bank and deposit it from there.
Gill
by Gill
Wed Jun 13, 2018 6:11 pm
Forum: Personal Finance (Not Investing)
Topic: Cost-basis step-up at death
Replies: 9
Views: 945

Re: Cost-basis step-up at death

However, for the account where your mother is also a surviving joint tenant, only the 50% that your father was deemed to have contributed gets the basis adjustment. But if there was an account where OP was not on, but was JTWROS with Mom & Dad, then the 50% vs 100% step-up would depend on the state...
by Gill
Tue Jun 12, 2018 8:04 pm
Forum: Investing - Help with Personal Investments
Topic: Taking $1M+ Long Term Capital Gains
Replies: 68
Views: 6255

Re: Taking $1M+ Long Term Capital Gains

It seems relevant to disclose the size and composition of your portfolio to give a proper answer. Is this gain 5% of your portfolio or 90%?
Gill
by Gill
Tue Jun 12, 2018 5:52 pm
Forum: Personal Finance (Not Investing)
Topic: Estate Income Tax question (1041)
Replies: 2
Views: 276

Re: Estate Income Tax question (1041)

It is not a deduction of any type although I’m wondering, but not sure, if it could be treated as a distribution to the beneficiary to the extent it was their legal obligation to pay the tax. Probably the best approach is to ignore the payment entirely.
Gill
by Gill
Tue Jun 12, 2018 9:07 am
Forum: Investing - Help with Personal Investments
Topic: Investing when someone else gets all dividends
Replies: 80
Views: 4730

Re: Investing when someone else gets all dividends

My opinion is that 3% to the income recipient is stingy and that the remaindermen are really not entitled to more than keeping even in real dollars, which is what responsibly preserving their principal means. The statement does not say the principal should be grown in real dollars Would it be fair,...
by Gill
Tue Jun 12, 2018 9:06 am
Forum: Investing - Help with Personal Investments
Topic: Investing when someone else gets all dividends
Replies: 80
Views: 4730

Re: Investing when someone else gets all dividends

I have a confirmation question about the case of distributed capital gains from a fund. In this trust case, distributed long term gains must be kept in the trust as principal, right? And some the cash from that can be used to pay trust taxes? And the remaining LT cap gains can (should be?) reinvest...
by Gill
Mon Jun 11, 2018 6:21 pm
Forum: Investing - Help with Personal Investments
Topic: Investing when someone else gets all dividends
Replies: 80
Views: 4730

Re: Investing when someone else gets all dividends

As I pointed out earlier, this is nothing but A in trust for B, remainder to C, D and E. Not really different from most trusts in existence. The trustees must give consideration to the interests of all parties to the trust, not just the income beneficiary. Why this has prompted such a discussion abo...
by Gill
Sun Jun 10, 2018 8:10 pm
Forum: Personal Finance (Not Investing)
Topic: Gift to Son and Effect on Gift Tax
Replies: 35
Views: 3173

Re: Gift to Son and Effect on Gift Tax

If the OP wishes to pay off the student loans, he and his spouse can give the son and the son’s wife $30,000, which together with the $20,000 already given this year equals $50,000. That amount is less than the $60,000 amount that a married couple can give another married couple without having to f...
by Gill
Sun Jun 10, 2018 8:01 pm
Forum: Investing - Help with Personal Investments
Topic: Investing when someone else gets all dividends
Replies: 80
Views: 4730

Re: Investing when someone else gets all dividends

What do you think is a reasonable alternative to the structure of your trust agreement without using the term "income"? I'm also interested if your trust agreement defines income. I know you didn’t ask me but, isn’t a reasonable alternative the unitrust concept and simply pay out a percentage of th...
by Gill
Sun Jun 10, 2018 6:51 pm
Forum: Investing - Help with Personal Investments
Topic: Investing when someone else gets all dividends
Replies: 80
Views: 4730

Re: Investing when someone else gets all dividends

Gill, do you know what accounts for the persistence of this income = dividends model in trust arrangements? It isn't something that makes a lot of sense from basic investing point of view. Is it related to the tax issue of distributing the taxable income to lower tax rates held by beneficiaries. Wh...
by Gill
Sun Jun 10, 2018 6:10 pm
Forum: Investing - Help with Personal Investments
Topic: Investing when someone else gets all dividends
Replies: 80
Views: 4730

Re: Investing when someone else gets all dividends

Gill, do you know what accounts for the persistence of this income = dividends model in trust arrangements? It isn't something that makes a lot of sense from basic investing point of view. Is it related to the tax issue of distributing the taxable income to lower tax rates held by beneficiaries. Wh...
by Gill
Sun Jun 10, 2018 5:51 pm
Forum: Investing - Help with Personal Investments
Topic: Investing when someone else gets all dividends
Replies: 80
Views: 4730

Re: Investing when someone else gets all dividends

This is correct. I've done some investigation and the trustees have an obligation to all four parties. In your mind is a 50/50 portfolio one that is half focused on dividends (like a bond fund and a dividend yield fund) and half invested normally without a focus on dividends? Or would you focus one...
by Gill
Sun Jun 10, 2018 5:29 pm
Forum: Investing - Help with Personal Investments
Topic: Investing when someone else gets all dividends
Replies: 80
Views: 4730

Re: Investing when someone else gets all dividends

This really is not unusual for the terms of a trust. The trustees have a fiduciary duty to invest for a reasonable income return while still having regard for the preservation and enhancement of principal. Your investments are governed by the trust instrument and state law. I’d go with 50/50 portfo...
by Gill
Sun Jun 10, 2018 3:23 pm
Forum: Personal Consumer Issues
Topic: The effect of a difficult last name on employment prospects...
Replies: 43
Views: 3496

Re: The effect of a difficult last name on employment prospects...

How about a spelling change to the way it is pronounced? I had a college friend who had an Eastern European name that was very difficult to pronounce and spell. He changed a few letters which eliminated the problem.
Gill
by Gill
Sun Jun 10, 2018 3:00 pm
Forum: Investing - Help with Personal Investments
Topic: Charity giving how much? How much do other retirees give?
Replies: 7
Views: 497

Re: Charity giving how much? How much do other retirees give?

randomizer wrote:
Sun Jun 10, 2018 2:57 pm
Give away 25% of your withdrawals every year. Reevaluate annually. Can always give away most at death with stepped up basis.
What does stepped up basis have to do with gifts to charity?
Gill
by Gill
Sun Jun 10, 2018 2:57 pm
Forum: Personal Finance (Not Investing)
Topic: selling home fractionally twice with TIC to use capital gains exemption twice?
Replies: 7
Views: 502

Re: selling home fractionally twice with TIC to use capital gains exemption twice?

IMO neither sale would be the sale of a primary residence. In the first sale you have created a TIC and the second sale you have severed it. Neither sale would qualify for the exemption.
Gill
by Gill
Sun Jun 10, 2018 2:46 pm
Forum: Personal Finance (Not Investing)
Topic: Gift to Son and Effect on Gift Tax
Replies: 35
Views: 3173

Re: Gift to Son and Effect on Gift Tax

Maya1234 wrote:
Sun Jun 10, 2018 2:37 pm
No need to fill anything really. Just give his fiancé the car and pay off the loans.
How do you figure that? Just ignore the requirement of a gift tax return?
Gill
by Gill
Sun Jun 10, 2018 2:38 pm
Forum: Personal Finance (Not Investing)
Topic: selling home fractionally twice with TIC to use capital gains exemption twice?
Replies: 7
Views: 502

Re: selling home fractionally twice with TIC to use capital gains exemption twice?

How do you sell half the house? I don’t see how the levels could be sold separately unless it was converted to a condominium. If it was split then you have one residence and one additional non residence property.
Gill
by Gill
Sun Jun 10, 2018 2:14 pm
Forum: Investing - Help with Personal Investments
Topic: Investing when someone else gets all dividends
Replies: 80
Views: 4730

Re: Investing when someone else gets all dividends

oldcomputerguy wrote:
Sun Jun 10, 2018 2:09 pm
ibhhvc wrote:
Sat Jun 09, 2018 7:38 am
Allows the principal in the account to grow without any dividend reinvestment.
How will principal grow without dividend reinvestment? I'm a bit confused by this requirement.
Through increase in value of equities.
Gill
by Gill
Sun Jun 10, 2018 2:05 pm
Forum: Investing - Help with Personal Investments
Topic: Investing when someone else gets all dividends
Replies: 80
Views: 4730

Re: Investing when someone else gets all dividends

This really is not unusual for the terms of a trust. The trustees have a fiduciary duty to invest for a reasonable income return while still having regard for the preservation and enhancement of principal. Your investments are governed by the trust instrument and state law. I’d go with 50/50 portfol...
by Gill
Fri Jun 08, 2018 8:35 pm
Forum: Investing - Help with Personal Investments
Topic: New to investing and just got an inheritance
Replies: 22
Views: 1591

Re: New to investing and just got an inheritance

I don't think there is any way can call yourself a true fiduciary and charge 1% AUM per year. Don't you think it matters what is done for that 1%? Would you consider the major trust institutions fiduciaries, many of whom charge a higher fee than 1%? Gill I'm talking about financial advisors or the ...
by Gill
Fri Jun 08, 2018 4:35 pm
Forum: Personal Finance (Not Investing)
Topic: Buying a house in Florida but you are hundreds of miles away
Replies: 33
Views: 2698

Re: Buying a house in Florida but you are hundreds of miles away

I spent many years in the trust business in Florida, with nearly all our clients being elderly retirees. It always struck me how common it was for a surviving wife to move "back North" after the loss of her husband. The reverse was rarely true. I always felt many couples came to Florida at the urgin...
by Gill
Fri Jun 08, 2018 4:05 pm
Forum: Investing - Help with Personal Investments
Topic: New to investing and just got an inheritance
Replies: 22
Views: 1591

Re: New to investing and just got an inheritance

SDLinguist wrote:
Fri Jun 08, 2018 1:47 pm
I don't think there is any way can call yourself a true fiduciary and charge 1% AUM per year.
Don't you think it matters what is done for that 1%? Would you consider the major trust institutions fiduciaries, many of whom charge a higher fee than 1%?
Gill
by Gill
Fri Jun 08, 2018 11:23 am
Forum: Investing - Help with Personal Investments
Topic: Estate Planning--Trust Fund Investments
Replies: 10
Views: 499

Re: Estate Planning--Trust Fund Investments

Thanks for the helpful questions. This would be for an adult child and the trust would last till he turns 65. So I am looking for the trust to pay out conservatively to protect the initial investments. But as it will last a long time, the investments don't need to be overly conservative. As it stan...
by Gill
Fri Jun 08, 2018 7:18 am
Forum: Investing - Help with Personal Investments
Topic: Estate Planning--Trust Fund Investments
Replies: 10
Views: 499

Re: Estate Planning--Trust Fund Investments

Tdubs wrote:
Fri Jun 08, 2018 7:17 am
The trustee will be my lawyer.
Is that how you want it? What happens when he retires, dies, becomes disabled or goes on vacation?
Gill
by Gill
Fri Jun 08, 2018 7:10 am
Forum: Investing - Help with Personal Investments
Topic: Estate Planning--Trust Fund Investments
Replies: 10
Views: 499

Re: Estate Planning--Trust Fund Investments

I am revising my will. It will contain a trust for one of my children. Does anyone have suggestions about the instructions I should leave for how the money should be invested and paid out? Right now, the language the lawyer drafted just leaves it up to the manager of the trust. Who have you chosen ...
by Gill
Wed Jun 06, 2018 7:24 pm
Forum: Personal Finance (Not Investing)
Topic: Buying Mom's condo on contract, Mom dies and we inherit the condo, what happens then?
Replies: 9
Views: 1160

Re: Buying Mom's condo on contract, Mom dies and we inherit the condo, what happens then?

Answering the question you asked, you and your sister would inherit the contract and become both the obligor and the obligee under the contract. Essentially you would owe the money to yourselves which would extinguish the obligation.
Gill
by Gill
Wed Jun 06, 2018 7:19 pm
Forum: Investing - Help with Personal Investments
Topic: Inheriting a trust
Replies: 17
Views: 1059

Re: Inheriting a trust

I see. Thank you. So in the case of assets coming (upon a surviving spouse’s death) from both a Survivor trust and a Bypass trust, the “all long term” rule would apply only to assets coming from the Survivor trust. That’s correct. The origin of the the step up tax break was that it was in exchange ...
by Gill
Wed Jun 06, 2018 6:43 pm
Forum: Investing - Help with Personal Investments
Topic: Inheriting a trust
Replies: 17
Views: 1059

Re: Inheriting a trust

Gill, I see this in the code it is indicated that gains are treated as long term. Can help by showing me where in the code gains (such as in your example above) are maintained as short term? I was led to believe this rule applies not only to estates, but also to revocable trusts that became irrevoc...
by Gill
Wed Jun 06, 2018 4:44 pm
Forum: Investing - Help with Personal Investments
Topic: Inheriting a trust
Replies: 17
Views: 1059

Re: Inheriting a trust

Inherited assets are always subject to long-term, not short-term, gains regardless of the time held in the deceased’s account. Not if they are received from a trust where the trust assets are not included in the estate of a decedent. Gill Can you provide an example of that situation? A leaves estat...