We can’t escape hearing about the rise of inflation and interest rates. You may wonder why an estate planning office is talking finance with you. But you must remember your estate plan includes more than just a will. Your plan may consist of certain types of trusts to pay out your beneficiaries. And don’t forget, your estate plan needs to work with your future financial goals. There are links between estate planning and interest rates. We will describe a couple of them here.
It is best to establish some trusts when interest rates are high. Two are Charitable Remainder Trusts (CRTs) and Qualified Personal Residence Trusts (QPRTs).
When establishing your estate plan, understanding which strategies work better in a higher interest-rate market will help increase the value of your overall plan. An attorney specializing in estate planning and trusts can help determine what is best for you.
CRTs and QPRTs have many tax benefits, but these trusts are not suitable for everyone. An estate planning attorney experienced in various trusts can explain the pros and cons of each. Contact us at the Estate and Probate Legal Group today at 630-864-5835.
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