Search Box Here
LIFE CAT COLUMN
DeathWriting an ObituaryAn obituary includes a biographical outline and possibly a picture of the deceased. As early as possible, begin compiling the information for the obituary. Friends and family can help write this. Choosing a Funeral HomeHere are a few "starter" tips, questions and things to know when choosing a funeral home.Low-Cost Funeral OptionsToday's average funeral costs upwards of $7,755. Fortunately, there are ways to lower funeral costs. Average Funeral CostsHere is a list of the average costs of funeral items and services, taken from the National Funeral Directors Association 2010 General Price List Survey. Please contact your local funeral directors for a General Price List for prices in your area.Planning a Funeral Memorial FundsFamilies often want to set up memorial funds so money can be donated in memory of their loved one. If you are considering this, and are wondering where money can be donated, here are a few ideas to get you started.Choosing CremationHere are some starter questions if you choose to visit a crematorium (or what to ask your funeral director if you don't go yourself).Planning a Funeral Military HonorsMilitary Funeral Honors are provided whenever possible. Law mandates the rendering of Military Funeral Honors for an eligible veteran if requested by the family.Making Funeral ArrangementsMaking funeral arrangements involves many different tasks. Don’t be afraid to ask for help, since many of these things happen simultaneously.Preparing a EulogyA eulogy is a tribute to a person's life, usually read at funerals or memorial services. Choosing a CasketCaskets hold the body before burial or cremation. Choosing OrganBody DonationIf your loved one requested organ donation or that his or her body be donated to a medical school, here are some things to know.Dividing Up Family HeirloomsWhat happens to possessions after the owner has passed on? Family members might battle over Mom's emerald earrings, Dad's golf clubs or even Grandma's yellow pie plate. Choosing a CemeteryYou will need to choose a location for burial or cremated remains if the deceased has not previously paid for a cemetery plot. You may wish to have a trusted friend or family member assist you in gathering and reviewing the information. Planning a Funeral 5 Common QuestionsHere are answers to common questions about planning a funeral.Common Estate and Inheritance Tax TermsCommon Estate and Inheritance Tax Terms These are simple, starter definitions for estate and inheritance taxes. Check with your financial advisor before doing anything. Estate Tax The Estate Tax is a transfer tax, which taxes the amount of wealth tr
LIFE AD SPACE

Common Estate and Inheritance Tax Terms

These are simple, starter definitions for estate and inheritance taxes. Check with your financial advisor before doing anything.

Estate Tax

The Estate Tax is a transfer tax, which taxes the amount of wealth transferred by a decedent at the time of his or her death. The IRS states that '"The laws on Estate and Gift Taxes are considered to be some of the most complicated in the Internal Revenue Code. For further guidance, we strongly recommend that you visit with an estate tax practitioner (attorney or CPA) who has considerable experience in this field."

Basic facts:

The "death tax" or estate tax is due nine (9) months after the date of death, and is payable in cash.

According to the IRS, a six-month extension is available if requested prior to the due date and the estimated correct amount of tax is paid before the due date.

Estate tax rates, which range from 37% to 55%, are substantially higher than other tax rates. The lowest estate tax rate is almost as high as the highest income tax rate (39.6%).

Inheritance Tax

Inheritance taxes are the oldest and most common form of death tax. They are typically levied at graduated rates based upon the amount of the bequest and upon the relationship between the deceased and the beneficiary.

According to the National Conference of State Legislatures, five types of exemptions are usually allowed under the inheritance tax:

  • Personal exemptions based on the relationship of the giver and receiver
  • Exemptions of a specified amount allowed the entire estate
  • Exemptions for property on which a tax already has been paid
  • Exemptions for bequests to charitable, religious or educational institutions
  • Exemptions for particular types of property.

For more information about estate taxes and inheritance taxes, visit the IRS Web site (Internal Revenue Service). For all questions regarding taxes and financial matters regarding a death, contact your attorney or financial advisor.

These are simple, starter definitions for estate and inheritance taxes. Check with your financial advisor before doing anything.

Other Life Pages
DeathAverage Funeral Costs

Here is a list of the average costs of funeral items and services, taken from the National Funeral Directors Association 2010 General Price List Survey. Please contact your local funeral directors for a General Price List for prices in your area.

 Read More
Choosing a Casket

Caskets hold the body before burial or cremation.

 Read More
Choosing a Cemetery

You will need to choose a location for burial or cremated remains if the deceased has not previously paid for a cemetery plot. You may wish to have a trusted friend or family member assist you in gathering and reviewing the information.

 Read More
Choosing a Funeral Home

Here are a few "starter" tips, questions and things to know when choosing a funeral home.

 Read More
Choosing Cremation

Here are some starter questions if you choose to visit a crematorium (or what to ask your funeral director if you don't go yourself).

 Read More
Choosing OrganBody Donation

If your loved one requested organ donation or that his or her body be donated to a medical school, here are some things to know.

 Read More
Common Estate and Inheritance Tax Terms

These are simple, starter definitions for estate and inheritance taxes. Check with your financial advisor before doing anything.

 Read More
Dividing Up Family Heirlooms

What happens to possessions after the owner has passed on? Family members might battle over Mom's emerald earrings, Dad's golf clubs or even Grandma's yellow pie plate.

 Read More
Low-Cost Funeral Options

Today's average funeral costs upwards of $7,755. Fortunately, there are ways to lower funeral costs.

 Read More
Making Funeral Arrangements

Making funeral arrangements involves many different tasks. Don’t be afraid to ask for help, since many of these things happen simultaneously.

 Read More
Planning a Funeral 5 Common Questions

Here are answers to common questions about planning a funeral.

 Read More
Planning a Funeral Memorial Funds

Families often want to set up memorial funds so money can be donated in memory of their loved one. If you are considering this, and are wondering where money can be donated, here are a few ideas to get you started.

 Read More
Planning a Funeral Military Honors

Military Funeral Honors are provided whenever possible. Law mandates the rendering of Military Funeral Honors for an eligible veteran if requested by the family.

 Read More
Preparing a Eulogy

A eulogy is a tribute to a person's life, usually read at funerals or memorial services.

 Read More
Writing an Obituary

An obituary includes a biographical outline and possibly a picture of the deceased. As early as possible, begin compiling the information for the obituary. Friends and family can help write this.

 Read More