Are there potential tax advantages for a married couple to having a Revocable Living Trust?
The answer to this question depends upon the size of the respective estates of the husband and wife. In the year 2000, the Federal Estate Tax Exemption is $675,000 per person, and is gradually increasing year by year until 2006 when it will reach $1,000,000 per person. Naturally, it is difficult to predict with any certainty the size of your estate at the time of your death, but it is wise to keep in mind that the federal government includes property in your estate for tax purposes even thought he particular property in question may pass outside of probate. For example, a substantial life insurance policy, or significant appreciation in the value of your home or real estate, can potentially place your estate value above the federal exemption amount. As a married couple, it is therefore prudent to anticipate the possibility that the joint value of the estates of the husband and wife will exceed the federal exemption amount. A Revocable Living Trust can be tailored for a married couple s
