One of the common questions that many Denver residents have when they are planning their estate is "what should I do about the inheritance I want to leave my children?" Inheritance can be a tricky endeavor because of the taxes and rules that apply to it; but there are ways for people to creatively and efficiently address the issues with their estate plan (and, subsequently, the inheritance they plan to leave).
For those who are going over their estate, there will be some tough questions you have to answer. What kind of options do you have to grow your estate? What kind of investments can you make that work for you and your family? How do you keep it all organized and ready for your heirs when the time comes to execute the estate?
Depending on the situation, some people may be best off considering some special annuities that could soften the tax blow of an estate while also guaranteeing a regular interest payment. Annuities are not for everyone, as it depends on their financial circumstances -- so talk to an attorney to get your situation organized.
Another option is a survivorship life insurance policy. While the premiums of such a contract may run high, they are modest when compared to other policies. Survivorship policies only kick in when the other spouse passes away too -- so the policy itself could provide a vast increase to your estate while also remaining relatively cheap to maintain.
You can add in trusts to this conversation too; and combined, your entire estate plan could be well-shielded from taxes while providing a maximum benefit to your kids.
Source: Wall Street Journal, "A Plan To Increase the Kids' Inheritance," Austin Kilham, Oct. 30, 2013