Category: Estate Planning

Jim Sinai

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Sep 15, 2023

Introducing Vanilla’s first-ever State of Estate Planning report Advisors are at a crossroads. Technology is shaking things up, economic policies are evolving, and new generations of clients are knocking on the door. Finding ways to future-proof your business in the face of change and uncertainty can be daunting, so we decided to shine a light on clients' ever-changing needs and help advisors anticipate where the industry might be headed. This summer, we surveyed more than 1,000 Americans to capture the pulse of public opinion on a wide spectrum of estate planning issues.  Today, we are thrilled to share the result...

Simona Ondrejkova, CFP

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Sep 05, 2023

Do your clients struggle to structure their estate plan in a way that aligns with their wishes while providing for their heirs in times of need? They may want to consider an estate planning strategy that offers flexibility in distributing assets based on individual needs. This approach allows the trustee to manage the assets as a single pool, with the discretion to distribute them to beneficiaries as needed. It’s particularly useful for clients who want to ensure that each beneficiary receives support based on their unique circumstances, rather than an equal share. While many advisors recommend this strategy for its...

Daniel Brockley

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Aug 24, 2023

We are a nation obsessed with our pets. In the US alone, we spend $123.6 billion on our furry (and scaly) friends every year. It feels like my household alone must account for a sizable chunk of that for our derpy golden retriever Alfie, between healthcare, food, grooming, toys, the occasional boarding, more toys. You get the idea. When it comes to our dog, we are stupid in love and spare no expense.  So, what happens if we’re no longer around to take care of our pets? Just as we make arrangements for our kids in the event something should...

Daniel Brockley

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Aug 22, 2023

Life is unpredictable. Even if you’re at the pinnacle of health, running marathons and doing one-handed pushups, you could find yourself injured in a car wreck tomorrow. That’s why an advanced directive is so important.  An advanced directive is a legal document that gives specific instructions regarding your healthcare wishes if you are incapacitated. There are any number of reasons you might not be able to communicate, including being under anesthesia, in a coma, or simply not well enough to speak coherently. In these instances, medical professionals will look to your advanced directive to guide them on how you want...

Jennifer Raess JD, CFP®, CLU®

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Aug 07, 2023

What do you think of when you hear the term “estate planning?” If you’re like two-thirds of Americans over the age of 18, you may assume it’s something you can do another time. In fact, the majority of U.S. adults don’t have a will and have not done anything to plan for their estate.  However, you don’t have to own a mansion or business to make estate planning work in your favor. For those with any amount of net worth, estate planning alleviates the family strife of having to make important life and financial choices on your behalf. It also...

Jim Sinai

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Aug 02, 2023

What changes in estate planning when rates go up? Over the past two years, interest rates have moved from near zero to 5.25%. Most clients are probably worried about how rising rates will affect their investment and retirement accounts. But advisors working with high net worth clients should also consider how a 500+ basis point shift in rates affects advanced estate planning strategies. Some strategies become more attractive as interest rates rise, while others become less attractive. Advanced estate planning strategies  There are a number of advanced estate planning strategies that can be used to reduce a client’s taxable estate...

Daniel Brockley

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Aug 01, 2023

Vanilla recently hosted Jeff Levine, the lead financial planning nerd for Kitces.com, home of the popular Nerd’s Eye View blog, for a webinar covering key considerations when planning for non-taxable estates. While it’s impossible to pack all the great info Jeff covered in a short blog post (including a rather spectacular metaphor involving the Red Hot Chili Peppers), we’ll give you a few highlights. What are the boundaries of advice financial advisors should give in estate planning? Financial advisors often grapple with the question of where the line lies between estate planning discussions and offering unqualified legal advice. Jeff weighed...

Simona Ondrejkova, CFP

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Jun 29, 2023

While it’s inevitable, it’s a call every advisor dreads: your client’s spouse or family member calling to notify you that your client has passed away. During these challenging moments, advisors must be ready to navigate both the emotional and financial implications of a client’s death. But how can advisors best prepare so they can be a source of comfort for clients’ survivors while ensuring all administrative and financial tasks are taken care of as needed? To answer this, we’ve compiled a guide to help you support the surviving spouse or beneficiaries while fulfilling your duties as an advisor. Here, you’ll...

Daniel Brockley

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Jun 20, 2023

For the past few years, most US tax residents haven’t needed to worry too much about estate tax. In 2018, the estate tax exemption was raised to an historical high of $11.18 million ($22.35 million per married couple), which has been raised yearly to adjust for inflation and put it out of sight for most estates. But the same law that raised the exemption, The Tax Cuts and Jobs Act (TCJA), is set to expire in 2026, bringing the estate tax exemption back down to an estimated $6-8 million per person or $12-16 million per couple (adjusting for inflation) –...