Liquidity, Powers of Appointment, and Trusts - Introduction

In this section we will touch on the choices available for estate liquidation to pay taxes and debts; powers of appointment and their tax implications; and types of trusts. Sources For Estate Liquidity


Related Articles
  1. Taxes

    A Quick Guide to High-Net-Worth Estate Planning

    A quick estate planning guide for high-net-worth individuals to help minimize taxes and costs, protect assets and plan for care.
  2. Taxes

    Estate Taxes: Who's on the Hook?

    Inheritance taxes can be tricky. Most people have to deal with them at a very inconvenient time. It's better to learn the laws now so you're ready later.
  3. Retirement

    Estate Planning For Canadians

    Trusts, wills, taxes and rules differ by country. Find out what you need to know about estate plans in Canada.
  4. Taxes

    8 States With Estate Taxes

    Understand the difference between the federal estate tax and state-specific estate taxes. Learn about some of the worst states with estate taxes.
  5. Estate Planning

    Why It's So Important to Update Your Estate Plan

    As rules and exemptions tied to the estate tax change, so should your estate plan. Here's why updating it is so important.
  6. Taxes

    3 Federal Income Tax Facts You Didn't Know

    Learn about three federal income tax facts that most Americans may not know from one of the most trusted financial resources on the Web.
  7. Taxes

    How Much Tax Do You Really Pay?

    When you add direct and indirect taxes together, your real tax rate is much more than you expected.
  8. Taxes

    Do Tax Cuts Stimulate The Economy?

    Learn the logic behind the belief that reducing government income benefits everyone.
  9. Personal Wealth & Private Banking

    These Are the 5 Financial Products/Services the Ultra-Rich Care About

    Learn about the financial products and services that wealthy individuals make use of to cater to their planning and wealth management goals and needs.
  10. Retirement

    Estate Planning: Estate Taxation

    by Cathy Pareto, CFP®, AIF® (Contact Author | Biography) The estate tax is a type of "death tax", whereby taxes are imposed on the right to transfer or receive property at the property ...
RELATED TERMS
  1. Exemption Trust

    A trust whose purpose is to drastically reduce or eliminate federal ...
  2. Irrevocable Income-Only Trust - ...

    A type of living trust often used for Medicaid planning. It protects ...
  3. Income Tax Payable

    A type of account in the current liabilities section of a company's ...
  4. Net Of Tax

    An accounting figure that has been adjusted for the effects of ...
  5. Estate Tax

    A tax levied on an heir's inherited portion of an estate if the ...
  6. Alimony Substitution Trust

    A trust agreement in which a divorced person agrees to pay spousal ...
RELATED FAQS
  1. What would the estate tax be on life insurance policy of $25,000.00?

    $25,000.00 was paid to the beneficiary of a life insurance policy. What would the estate tax be and do you have to pay an ... Read Answer >>
  2. What's the difference between the marginal tax rate system and a flat tax?

    Find out about the difference between marginal tax rates and flat taxes. Gain insights on both systems and the arguments ... Read Answer >>
  3. What are the differences between regressive, proportional and progressive taxes?

    Understand the differences between the most common tax systems including regressive taxes, proportional taxes and progressive ... Read Answer >>
  4. What is the difference between a regressive tax versus a progressive tax?

    Determine how progressive and regressive taxes impact your personal finances, and learn more about how you pay both types ... Read Answer >>
  5. How are trust fund earnings taxed?

    Trust fund earnings that are distributed are paid by the beneficiary. The trust pays taxes on retained earnings and principal ... Read Answer >>
  6. Can a corporation deduct dividend payments to shareholders before taxes are calculated?

    Corporations may not legally deduct the dividend payments before taxes but there is another approach - a corporate structure ... Read Answer >>
Hot Definitions
  1. Quarter - Q1, Q2, Q3, Q4

    A three-month period on a financial calendar that acts as a basis for the reporting of earnings and the paying of dividends.
  2. Weighted Average Cost Of Capital - WACC

    Weighted average cost of capital (WACC) is a calculation of a firm's cost of capital in which each category of capital is ...
  3. Basis Point (BPS)

    A unit that is equal to 1/100th of 1%, and is used to denote the change in a financial instrument. The basis point is commonly ...
  4. Sharing Economy

    An economic model in which individuals are able to borrow or rent assets owned by someone else.
  5. Unlevered Beta

    A type of metric that compares the risk of an unlevered company to the risk of the market. The unlevered beta is the beta ...
  6. Treasury Inflation Protected Securities - TIPS

    A treasury security that is indexed to inflation in order to protect investors from the negative effects of inflation. TIPS ...
Trading Center