Death of a Loved One

The law will pass on the jointly held assets with right of survivorship on to the joint holder. The designated beneficiary of the insurance policies and retirement accounts will be awarded to said individuals. The assets owned only by the decedent will be dealt with according to state law, known as intestacy. Generally, the preference […]

Typically, yes because it is considered income with regards to the decedent. The tax is due by the recipient because the deceased had not paid the distribution’s income tax. You may be entitled to a deduction for a segment of the estate taxes paid, if the account’s value was incorporated in the estate tax return […]

Typically not. Unless the recipient paid for the privilege to collect the life insurance policies, they are non-taxable income. For instance, if a policy was purchased as an investment.

Of course. If the surviving spouse didn’t remarry before the end of the tax year, he/she may choose to file a joint return.

To refuse all or part of the property that is being passed on to you by a will, intestacy laws or the operation of law, you should make use of the disclaimer. The property is passed to the next beneficiary in line with an effective disclaimer. By the property passing directly from the decedent to […]

The following sums up the different taxes that may need to be paid upon death of a family member: Federal Estate Tax. Amounts that are given to the surviving spouse or to a charity are typically exempt from estate tax. Normally, the estate tax is only owed on estates (which, after decreasing the amount by […]

It is the legal process of allocating the estate to the lawful heirs as well as paying the debts of the deceased. The process typically includes: An individual being appointed by the court to function as the personal representative or executor of the estate. The person is usually mentioned in the will. The court will […]

If the deceased has paid Social Security for a minimum of ten years, he/she is covered. Contact your local Social Security office or call 800-772-1213 to find out if the deceased was eligible. There are two types of available benefits, if eligible: One-time death benefit – A death benefit is paid by Social Security towards burial expenses. […]

Planning ahead is the best way to avoid overpaying for a family member’s funeral. You should know about the Federal Rule or the regulation of the Federal Trade Commission (FTC) dealing with practices of the funeral industry. It provides that: You must be given, over the phone, price and other relevant information by the funeral […]

To learn how to handle the following assets of the deceased, speak with your financial advisor. General rules are as follows: Automobiles. Find out if the title of the car of the deceased needs to be modified by checking with the State DMV. Insurance Policies. The beneficiaries of policies held by the deceased’s spouse may […]