Miami Probate and Estate Administration Law Blog

It may seem like the problems of the rich and famous are completely separate from the everyday problems of the common folk, but within every scandal is a pearl of wisdom that we can use in our own lives. Estate planning and probate litigation are topics where everyone has room for improvement, from the wealthiest baron to the average Florida resident.

One estate attorney, the author of "Probate Wars of the Rich and Famous: An Insider's Guide to Estate Planning and Probate Litigation," said that the most common problem in notorious estate battles is multiple marriages. If the will does not provide adequately for the second or third spouse and any children from the first marriage, then there can quickly be heated litigation.

Financial advisers met in Florida recently for a conference on estate planning sponsored by the University of Miami School of Law. One of the popular subjects was the ever-changing laws concerning lifetime gifts. For those who are considering making estate planning decisions, consulting with a financial adviser or attorney who has a good grasp on current laws is essential. Many tax provisions concerning gifts and inheritance are subject to the whims of Congress, which means the laws can frequently change.

As the system is now, the gift limit before taxes are incurred is $5.12 million. That doubles to $10.24 million with a marriage. The gift tax can be up to 35 percent, and gifts are seen as more advantageous than passing assets after death. Gifts leave less in the estate to be taxed by the government and any increase in value of gifts is not taxed as part of the estate.