Unveiling the Impacts of the One Big Beautiful Bill Act on Estate Planning

Ever wondered how the One Big Beautiful Bill Act could affect your estate planning strategies? This ground-breaking legislation has permanently increased the gift, estate, and generation-skipping tax exclusion amount to a whopping $15 million per individual and $30 million per married couple. Now, that’s something to celebrate!

But wait, there’s more. The Act has also broadened the scope of 529 plan qualified expenses and introduced ‘Trump’ accounts. These come with a $1,000 government contribution for eligible children and allow additional contributions up to $5,000, adjusted for inflation. Imagine the potential growth of that nest egg over time!

Let’s not forget the small business owners out there. The Act has your back too! It has reduced the minimum holding period required for Qualified Small Business Stock. Plus, it’s bumped up the threshold for eligibility and the flat cap on maximum excludable capital gain.

So, what does all this mean for you and your estate planning? It’s simple. More opportunities for tax-efficient wealth transfer, enhanced savings potential, and greater flexibility for small business owners. However, always remember to consult with a professional for personalized advice. Estate planning is not one-size-fits-all, after all.

Source: perkinscoie.com