Dear Garden State Trust: My wife and I each have IRAs. I was born May 1, 1949, she was born September 1, 1949, so we will both be 71 this year. I’ve heard that required minimum distributions from IRAs are no longer required until age 72, is that right? —Confused Retiree Dear Confused: You are…
Blog
Money for Seed, or Money to Spend?
Sometimes, the shock of a sudden death can provide a sharp focus on things we did not appreciate soon enough, and what we know but don’t always act on. It’s always worthwhile to express our appreciation for those we care for. With the recent tragic helicopter crash that led to the loss of Kobe Bryant,…
Having “The Talk”
Dear Garden State Trust: When should I talk to my children about their inheritances? —Thoughtful Parent Dear Thoughtful: As a general rule, sooner is better than later. An inheritance should not come as a surprise; it is something that requires preparation and planning. In that way, an inheritance may prove to be more than a…
One Decade at a Time
The last decade was one of tremendous market optimism, which included the longest bull market in American history. That is because we have gone 130 months as of January 1st 2020 without a 20% or greater decline in the stock market, breaking the previous record of 113 months. Fun Fact! The terms for being bullish…
Federal Estate Tax Exemption
Dear Garden State Trust: My estate is about $10 million—do I have to worry about federal estate taxes? —Affluent, Not Rich Dear Affluent: You are close to the boundary for exposure to the federal estate tax. The exemption for 2020 has been increased to $11.58 million, which would seem to let you off the hook.…
Trust. Hard to Build, Easy to Break.
Trust is part of all brands, not just trust companies, as that is where brand loyalty comes from. Good product or service, on time delivery, truthfulness in advertising — all are part of building that trust. Unfortunately, with the chaotic digital marketplaces this trust can be broken in many ways. The most recent accusation: Fake…
Dynasty Trusts
Dear Garden State Trust: I’m intrigued by something I heard about recently, a “dynasty trust.” What is that, and how does it work? —Legacy Builder Dear Legacy: Traditionally trusts with private beneficiaries were not permitted to last forever, but had to have a determinable end date. This policy was enforced by the “rule against perpetuities,”…