Tax Planning Services From Malibu, CA

Inheritance Tax Planning

In some states, you will have to pay an inheritance tax when you inherit assets from a deceased individual. There are numerous factors that can influence this tax, such as the value of the inherited possessions and the relationship between the deceased and those to whom they passed on their assets. It can often be a confusing endeavor to handle. Still with our inheritance tax planning services from Malibu, CA, you’ll be able to proceed through the process with comfort, knowing professional tax planning experts are on your side.

Expert Tax Minimization Strategies From Malibu, CA

When it comes to learning tax minimization strategies, there are many misnomers that must first be addressed. Many people think they’ll be in a lower tax bracket in retirement, but likely they’ll be in a higher bracket instead. Another misconception is that you’ll need less income in retirement, but in fact, you’ll likely need the same or even more. One of the reasons you’ll likely be paying more tax is because you’ll lose most of your deductions in retirement. If you own a house, it’s likely paid off or mostly paid off. Your children, which provide tax credit and exemption, are out of the house, so there is no help there. How about your 401k? Not contributing to a retirement plan anymore, so that deduction is lost, but the truth is, I’m not sure contributing to your 401k for a tax benefit is any benefit at all. Tax rates are at all-time lows, so why save on taxes now if you’re going to pay more in taxes later? At 72 years old, the IRS is going to force you to take money out of your 401k and pay tax on it as ordinary income whether you need it or not. The truth is many who don’t plan for higher taxes will end up paying more tax in retirement on less income. Our tax minimization experts can help you identify where you might have a tax liability and help you plan around it with tax planning strategies!