To the surprise of everyone in the estate planning community, Congress failed to address a critical estate and generation-skipping tax matter before the end of 2009, resulting in the repeal of the federal estate tax. However, this repeal is for 2010 only. In 2011, the exclusion for federal estate tax reverts back to $1,000,000. How is this possible, and what effect does it have on couples’ estate plans, particularly second marriages?
Since 2001, the federal estate tax has been gradually phasing out, with an increasing exclusion from federal estate tax each year. In 2009, the exclusion increased to $3,500,000. In 2010 however, the federal estate tax disappears, only to return in 2011 with only a $1,000,000 exclusion. To further complicate things, although the federal estate tax disappears in 2010, the unlimited step-up in basis for inherited assets also disappears; and a decedent’s estate is permitted to increase the basis of assets by only up to a total of $1.3 million with an additional $3 million if there is a surviving spouse. How does this affect estate planning?
Many couples’ estate plans were written to shelter the exclusion at the death of the first spouse by using a “by-pass” or “shelter … Read More... “Marital Consequences of the Repeal of Federal Estate Tax”
Lately, it seems that I have had more and more of my male clients coming in to see me to discuss issues relating to paternity. There are so many myths out there about what needs to happen to establish paternity and the possible outcomes of failing to do so, that it never ceases to amaze me! Perhaps the most serious outcome that many people are unaware of is that a “putative” father can have his child adopted out to someone else without his consent if the appropriate action has not been taken.
In a recent analysis of census data, the Pew Research Center found that the institution of marriage has undergone significant changes in recent decades as women have outpaced men in education and earnings growth. The study examined American’s 30 to 44 years old, a stage of life when typical adults have completed their education, have gone to work and gotten married. “Men now are increasingly likely to marry wives with more education and income than they have, and the reverse is true for women,” said Paul Fucito, spokesman for the Pew Center. “In recent decades, with the rise of well-paid working wives, the economic gains of marriage have been a greater benefit for men.” Clearly, these unequal gains have been accompanied by gender role reversals in both the spousal characteristics and the economic benefits of marriage.
One of the most difficult things you will ever have to do as a parent is tell your children that their parents are breaking up. It is important that you shift your focus from your loss to your children’s loss. Divorce is about the dissolution of a husband-wife relationship. It marks a change in the parent-child relationship. Staying aware of this difference will help you effectively support your children. In talking with your children, stay focused on their feelings about this experience. If you focus on the spousal relationship, your own feelings may get in the way of good parenting.
Jason C. Brown, the publisher of the 
Recent articles and news programs have focused upon active duty military members who have returned from overseas tours of duty (often in the Middle East) to find themselves engaged and involved in “custody battles” with former spouses who are arguing it would be in the “best interests” of the minor child/children to remain with the parent who has provided care and custody during the year(s) the military parent was deployed overseas.