Some insights into various limits on estate planning in 2024

I attend the Notre Dame Estate Planning Institute every year. In this seminar, he received a lot of insight into what the various estate planning limits will be in 2024, taking into account inflation, as well as information on many other estate planning matters.

Here’s what was discussed at this year’s recent seminars: These numbers are considered estimates until verified by the IRS.

• The annual gift exclusion amount for 2024 is estimated to be $18,000 per person per year. This number is an increase in the annual exclusion amount for his 2023 gift, which is currently $17,000 per person per year. This means he can gift $18,000 to someone in 2024 without any gift tax consequences.
• The 2024 gift and estate tax exemption is estimated at $13.61 million. This figure increased from the 2023 gift and estate tax exemption amount of $12.92 million. This means you can gift more than $13.6 million in assets to someone without any gift tax consequences. Furthermore, if he dies in 2024 without taking advantage of any of this deduction, there will be no inheritance tax paid by his family. This gift and inheritance tax deduction is scheduled to be reduced in 2026. The savings are estimated to be between $6 million and $6.5 million. The gift and estate tax exemption amount was increased to $10 million during the Trump era, but it has increased further due to inflation. However, there were not enough votes in Congress to make this increase in gift and estate tax exemptions permanent. Therefore, the reasons for the above reduction in 2026 are as follows: Therefore, if your assets are likely to exceed these numbers, consider contacting an estate planning attorney to discuss various options that could potentially save your family significant estate taxes in the future. is needed.
• Until 2024, there is currently no limit on the amount of assets you can gift to your spouse who is a U.S. citizen. Her 2023 limit on the amount she can gift to a spouse who is not a U.S. citizen is her $175,000. Her 2024 limit on the amount she can gift to a spouse who is not a U.S. citizen is estimated to be $185,000.
• Since current interest rates are significantly higher than in years past, you may also want to consider various estate planning techniques, such as Qualified Personal Home Trusts and Charitable Trusts, if they align with your estate planning desires. These are estate planning techniques that can help your family save on inheritance taxes in the future.