• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
mendelson-logo

Mendelson Law Firm

Memphis TN Estate Planning & Creditors Rights Attorneys

Call Now (901) 763-2500
(866) 997-6325
Fax (901) 763-2525

Consumer Collection Matters Contact Portal
Make Payment

  • HOME
  • WHO WE ARE
    • Attorney and Staff Profiles
    • About Our Firm
  • HOW WE HELP
    • Commercial Collections & Subrogation
    • Consumer Collections & Collections Payment Portal
    • Estate Planning Services
      • Estate and Gift Tax Figures
      • Estate Planning
      • Legacy Planning
      • LGBTQ Estate Planning
      • Minor Children and Young Adult Planning
      • Pet Planning
      • Remarriage and Blended Families Protection
      • Wills and Trusts
    • Elder Law Services
      • Elder Law and Medicaid
      • Incapacity Planning and Caregiver Support
      • Trust Administration and Probate
    • Business and Financial Planning
      • Business Planning & Litigation
      • Family-Owned Businesses
      • Financial Planning Assistance
      • IRA and Retirement Planning
  • RESOURCES
    • Elder Law Reports
    • Estate Planning and Resources
      • Estate Planning Checkup
      • Estate Planning Definitions
      • Estate Planning Reports
      • Incapacity Planning Definitions
      • Is Your Estate Plan Outdated?
      • Top 10 Estate and Legacy Planning Techniques
    • Frequently Asked Questions
      • Estate Planning Frequently Asked Questions
      • Incapacity Planning Frequently Asked Questions
      • Legacy Wealth Planning Frequently Asked Questions
      • Trust Administration and Probate Frequently Asked Questions
    • LGBTQ Resources
    • Powers of Attorney, Health Care, and Emergency Documents
    • Pre-Consultation Form
    • Special Needs Resources
    • Trust Administration and Probate Resources
      • Bereavement Resources
      • How To Know If You Need Extra Help With Your Grieving
      • Loss Of A Loved One
      • The Mourner’s Bill Of Rights
      • Things You Need To Do When A Loved One Passes Away With A Trust
      • Trust Administration and Probate Definitions
      • Things You Need To Do When A Loved One Passes Away With A Will
  • ON-DEMAND WEBINAR
  • REVIEWS
    • Estate Planning Review
    • Collections Review
    • Other Legal Matters
  • BLOG
  • CONTACT US
    • Collections
      • Contact Us
    • File a Complaint
    • Other Legal Matters

Estate Planning Definitions

Annual Gift Tax Exclusion:

Technique to allow gifts without the imposition of estate or gift taxes and without using lifetime exclusion.

Children’s or Grandchildren’s Irrevocable Education Trust:

A Trust used by parents and grandparents for a child’s or grandchild’s education.

Charitable Remainder Interest Trust:

A trust whereby donors transfer property to a charitable Trust and retain an income stream from the property transferred. The donor receives a charitable contribution income tax deduction, and avoids a capital gains tax on transferred property.

Family Limited Partnership:

An entity used to:

  1. Provide asset protection for partnership property from the creditors of a partner
  2. Provide protection for limited partners from creditors
  3. Enable gifts to children and parents maintaining management control
  4. Reduce transfer tax value of property

Federal Estate Tax:

A tax levied by the federal government upon the estate of a deceased person. The federal government gives certain exclusions and deductions and then taxes everything above a set level.

Fractional Interest Gift:

Allows a donor to transfer partial interests in real property to donees and obtain fractional interest discounts for estate and gift tax purposes.

Funding:

Is the process that entails transferring assets you own as an individual into the name of your Trust.

Generation Skipping Tax:

This is a tax levied on assets that are given to individuals who are more than one generation away from the donor. An example would be a grandparent giving an asset to a grandchild either during the grandparent’s life or at death. Effective use of generation-skipping exemption allows the assets to avoid estate tax inclusion in the child’s taxable estate.

Guardianship/Conservatorship:

Is a court-supervised proceeding which names an individual or entity to manage the affairs of an incapacitated person. A guardianship may also include the duty to care for the incapacitated person.

Health Care Power of Attorney:

Instrument used to allow a person you name to make health care decisions for you should you become incapacitated.

Irrevocable Life Insurance Trust:

A Trust used to prevent estate taxes on insurance proceeds received at the death of an insured.

Joint Tenancy:

When property is held in joint tenancy with rights of survivorship by two or more people, upon the death of one of the owners, all of his or her interest in the property is transferred immediately to the surviving owners.

Living Will:

Sometimes called a physician’s directive, is a document in which you give directions for life sustaining treatment should you become unable to communicate your wishes. Some states have combined this into the advanced health care directive.

Pour Over Will:

Is used first to name a guardian for minor children. Second, it protects against intestacy in the event any assets have not been transferred into the Trust at the death of the Trustor/Owner. Its function is to “pour” any assets left out of the Trust into it so they are ultimately distributed according to the terms of the Trust.

Private Foundation:

An entity used by higher-wealth families to receive charitable income, gift, or estate tax deduction while allowing the family to retain some control over the assets in the foundation.

Probate:

Is the court procedure used to change title to assets from the name of an individual who has passed away into the name of the beneficiaries. It is also where all creditors of a decedent file claims to collect their debts and where interested parties can “contest” the Will. An individual who passes away with a Will or no estate plan will go through this process.

Property Power of Attorney:

Instrument used to allow an agent you name to manage your property.

Revocable Living Trust:

A device used to avoid probate and provide management of your property, both during life and after death.

State Estate or Inheritance Tax

A state estate tax is a tax levied by a state government upon the estate of a deceased person. It is levied in much the same way as the federal estate tax. A state inheritance tax is a tax levied by a state government that varies depending upon the relationship of the inheritor to the deceased person. Nearly half the states have a separate state estate or inheritance tax which kicks in at a lower level than that of the federal government.

Step-up in Basis:

A step-up — or step-down — in basis is an adjustment for income tax purposes to an asset’s fair market value at the date of the death of the owner of the asset. For example, if you bought a share of stock for $100 that increased in value to $500 at the time of your death, your tax basis was $100 but increases to $500 at the time of death.

Trustee:

The person or entity in charge of the assets in a Trust. While you are alive, you may act as Trustee. For married couples, either one or both spouses may act as Trustee or co-Trustees. The successor Trustee is an individual or corporation fiduciary whom you designate to be in charge of your Trust in the event of disability or upon death.

Will:

A legally enforceable declaration of how a person wishes his or her property to be distributed after death. In a Will, a person can also recommend a guardian for his or her children.

Primary Sidebar

SUBSCRIBE TO OUR E-NEWSLETTER

WHERE WE ARE

MENDELSON LAW FIRM
799 Estate Place
Memphis, Tennessee 38120
Phone: (901) 763-2500
Fax: (901) 763-2525

Toll-Free: (866) 997-6325

OFFICE HOURS

Monday8:00 AM - 5:00 PM
Tuesday8:00 AM - 5:00 PM
Wednesday8:00 AM - 5:00 PM
Thursday8:00 AM - 5:00 PM
Friday8:00 AM - 5:00 PM

MAP/LOCATION

map

Footer

footer-logo

Mendelson Law Firm is a debt collector. This is an attempt to collect a debt. Any information obtained will be used for that purpose.

ATTORNEY ADVERTISEMENT

THIS IS AN ADVERTISMENT. Our firm reviews and updates this site periodically. However, there may be times when the information on our site is not current. The information provided on this site for informational purposes only and is not intended to be legal advice. If you wish to retain our firm to seek legal advice or representing you must enter into a client relationship by both parties entering into a written agreement. A lawyer client relationship is not created by communication or email through this web site. This is an attempt to collect a debt by a debt collector and any information obtained will be used for that purpose.

  • Privacy Policy
  • Terms Of Service
  • Disclaimer
  • Site Map
  • Powered By American Academy of Estate Planning Attorneys
© 2023 Mendelson Firm, PLLC, All Rights Reserved