Man i wish you guys lived in my country so these things applied to me. Then again, we don’t have any capital gains taxes here (for now) so things are good.
Typically if you're going to start setting up separate companies for a large real estate holding it would go into a company and then irrevocable trust.
This is because that situation is usually when your net worth has exploded and is well past $10M
Below $10M you're better off doing all the weird stuff here, gifting to family, basic living trust etc.
For exmaple if you ahve $5M liquid do you really need the next $1M? You know you will never touch it so better to put that under family member name, let it grow, inherit tax free 20 years later
Just watched a 0.1% family go through this. Widow is buying a home in Vail after 30 years of board grants just stepped up in basis. It will be her fourth property (that I know of). If they’re playing this game you should be too at the level you can!
There is no estate tax benefit to living trusts. If you are in the 8-figure club you need to start thinking about this. The downside is they can never be changed.
If you have a family of normal size, say 4 people, and everyone trusts one another it's honestly unlikely you need irrevokable trusts unless the wealth is well into 8 figures. It's acutally better you don't own a chunk of assets under your name since that's even safer for legal reasons
Man i wish you guys lived in my country so these things applied to me. Then again, we don’t have any capital gains taxes here (for now) so things are good.
What’s your opinion on infinite banking (using whole life insurance and irrevocable trusts) as a generational tool?
This is for much higher wealth amounts, outside of CT where everyone is a billionaire usually doesn't apply.
Irrevocable comes into play as you enter 8-figures
Thanks Bull for this; would be interested to see similar views for other countries (Canada, Europe, etc)
Is it better for a property mortgage to be under a corporation’s name, and if so, can it still be under your personal trust?
Typically if you're going to start setting up separate companies for a large real estate holding it would go into a company and then irrevocable trust.
This is because that situation is usually when your net worth has exploded and is well past $10M
Below $10M you're better off doing all the weird stuff here, gifting to family, basic living trust etc.
For exmaple if you ahve $5M liquid do you really need the next $1M? You know you will never touch it so better to put that under family member name, let it grow, inherit tax free 20 years later
Can we have a post on ETH and BTC and where we’re going in this cycle please?
Q&A is Sunday, should be pretty easy to explain.
As usual don't blindly copy us since wealth and finance is personal.
Just watched a 0.1% family go through this. Widow is buying a home in Vail after 30 years of board grants just stepped up in basis. It will be her fourth property (that I know of). If they’re playing this game you should be too at the level you can!
Ha! Not surprising.
When does it make sense to get an irrevocable trust?
There is no estate tax benefit to living trusts. If you are in the 8-figure club you need to start thinking about this. The downside is they can never be changed.
If you have a family of normal size, say 4 people, and everyone trusts one another it's honestly unlikely you need irrevokable trusts unless the wealth is well into 8 figures. It's acutally better you don't own a chunk of assets under your name since that's even safer for legal reasons