How To Benefit By Gifting Into A Kiss Trust

Posted by Ned Armand, President of Eastern Point Trust Company on Jan 29, 2016

What Is Gift Tax

By simply being generous throughout your lifetime and utlizing these exemptions, you can reduce your impending estate tax by thousands or even millions by gifting, while avoiding probate and other headaches along the way.

Key Takeaways

  • Gifting into a trust fund is a strategy that many individuals utilize for its numerous benefits.

  • Up to $14,000* per year can be gifted tax-free (or up to $28,000* for married couples) for as many persons or trusts. Up to 5.45* million dollars can be gifted per lifetime not including the accumulated total of your lifetime gifts without estate tax burdens.

  • Gifting into a trust fund can maximize the effectiveness of your gift by compounding the invested, and by holding it until distribution terms.


  

Why You Should Take Advantage of Gifting (A Can’t Lose Scenario)

Gifting is a strategy that is often underutilized. What is gifting, you ask? Put simply, gifting is the exchange of assets from one person to another or one person to another entity. There are a couple caveats, IRS rules however, that prevent individuals from gifting everything they have to avoid taxes.

 

Caveats Of Gifting Estate Assets

There are some crucial caveats and details regarding maximizing your effectiveness when gifting. Here is some help:

  1. Up to $14,000* per year can be gifted tax-free to multiple entities (or up to $28,000* for married couples).
    • Anything over $14,000* (or $28,000* for a couple) to any one individual or entity by you is subject to Gift Tax.
    • This $14,000* tax-free gift can be gifted to as many parties as you want. For example, let’s say you have 2 children and trusts established for both children. You could gift $14,000* into each trust as well as gifting $14,000* to each children tax-free, a total of $56,000* for an individual or $112,000* for a couple.
    • Once a gift is made those dollars are not subject to probate or death tax any longer.
  2. Over the course of your lifetime, 5.45* million can be gifted without estate gift taxes, and the amount that you gift over your lifetime combined (within the $14,000* annual exclusion) does not reduce your lifetime exemptions.
  3. Spouses can use any unused lifetime gift tax exemptions that their spouse does not use.
    • For example, if a husband dies with an estate of 4 million dollars, it will be gifted to his heirs without estate gift tax. But, there is $1.45 million* that was unused. His wife (or husband in some states), can contribute up to their limit, and the remainder of their spouses unused tax-free gift, which in this case amounts to $1.45 million.*

What this means is that individuals and couples can gift up to $28,000* per year per person or trust tax-free. As a general rule of thumb, it is better to gift your estate over the course of your lifetime to minimize taxes rather than waiting until you die. If you're having trouble understanding these limitations, you are not alone. Let's break it down. 

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Strategically Gift Your Estate

Gifting under the annual limit can maximize the effectiveness of your gifts when gifting into a trust fund. A disadvantage of gifting up to the annual limit is uncertainty of proper and prudent usage of your gift. Trusts prevent this and ensure that your gifts are being invested and distributed under your own terms and conditions. For example, you can gift up to $14,000* individually into as many separate Kiss Trusts per year. You can get started utilizing this tool by quickly and easily establishing a Kiss Trust for $20 with a discount code by clicking here, or the link below. Use the money you save on trust fees by using Kiss Trust to put towards your annual gift-tax exclusions. 

 *All figures are based on 2016 IRS data. Learn more.

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Tags: Gift Trust, Gifting

The Holiday Gift That Keeps Giving: A Savings Trust

Posted by Ned Armand, President of Eastern Point Trust Company on Dec 9, 2015

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Kiss Trust wants to make your holiday season the best it can be, for you and your family. You're now able to create the most thoughtful gift for $20 to give to the one's that you love the most.

 Key Takeaways

  • Gifting a savings trust to a loved one this holiday season could be the most endearing gift that they receive, which will benefit them for an entire lifetime.
  • You can start a Kiss Trust for only $20 for the holidays.
  • Creating a Kiss Trust can take as little as an hour, for less than what you may have planned to pay on other gifts.

 

Choosing The Perfect Gift

The Lifespan of Your Gift

This holiday season, Americans will scramble to find their family the perfect gift. Not you. You have had the perfect gift picked out since September, but ask yourself this, “How long will my gift be useful to whomever I give it to?” It may seem like a sensible question, but it is hard to truly answer it. Sadly, this holiday season, Americans will pour billions of dollars into gifts that will inevitably be unused sooner than they think.

Extending Your Gift’s Lasting Benefit

Very few people will actually give a gift this season that can change someone’s life. For those who do, it makes for a wondrously special moment. Seeing a loved one’s face flood with happiness and emotion is priceless. That happiness, however, can last a lifetime when they receive a holiday trust fund.

The (Truly) Perfect Gift

A trust fund gift is thoughtful and endearing, which will benefit the recipient for years to come. There is not a better way to display your love and care for an individual than gifting a trust. According to a study conducted by the Center for a New American Dream, 4 out of 5 Americans think that the holidays are too materialistic. It is now a better time than ever to gift a holiday trust, since Americans see the value of savings plans, opposed to traditional material gifts.

 

The Lasting Benefits of a Trust

Endearing, Personal, and Homemade

If you were thinking about merely gifting a trendy tech gadget, which risks rapid obsolescence, or a thoughtless gift card this holiday season – think again! Gifting a holiday trust offers many life and financial benefits, but it also provides emotional benefits for those receiving it. Gifting a trust shows that you spent more time than buying an object at the store, it shows that you put more thought into it, and it shows that you care more about your beneficiary. What they may not know is that you created the trust in as little as an hour for under $50 using Kiss Trust.

Kiss Trust Investment Options

A Kiss Trust offers thousands of investment options. These options can cater to the savvy investor, with thousands of professionally managed mutual funds and ETFs, and even those with no investing experience with provided index funds that model market funds such as the S&P 500. Everyone can begin to grow their trust using Kiss Trust investment options.

Kiss Trust Distribution Options

A Kiss Trust is fully customizable to the needs of each individual trust. There are hundreds of distribution options, making for thousands of combinations, that will ensure that your trust is being used exactly how you want. Choose the criteria that the beneficiary has to meet before receiving distributions. Each trust is managed and protected by professional institutional trustees, so you know that your trust will benefit your beneficiary for years, or even generations, to come!

 

Start Giving (And Keep Giving) 

Creating a Kiss Trust can take as little as an hour, for less than what you may have planned to pay on other gifts. The process is simple, and our esteemed support team will assist you whenever you need it. Start your holiday trust today for $20 ($29 off the standard price).

Give The Gift Of A Lifetime Start Today And Receive 60% Off

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Tags: Savings Trust, Gift Trust

Unique Baby Shower Gift Ideas

Posted by Ned Armand, President of Eastern Point Trust Company on Dec 7, 2015

Kiss trust baby shower gift

Next time you are invited to a baby shower, reconsider traditional gifts that benefit the parent short-term. A trust-based savings plan is a thoughtful gift that shows that you care about the family's future, which can benefit them for a lifetime.

Key Takeaways

  • An all-in-one savings plan is a great baby shower gift, since it benefits both the parent and child long-term.
  • Make sure the account is easily accessible, like a Kiss Trust.
  • Choosing an account with many investment options gives you the freedom to grow your funds beyond the initial deposit amount.


Gifting Saving Plans To New Parents

Think Beyond Immediate Essentials for Baby Shower Gifts

New parents are often inundated with clothes, blankets, toys, and other items that newborns quickly outgrow. Instead, consider giving parents a gift that will grow with their newborn and help serve his or her needs later in life.

A savings account for a newborn is one of the most thoughtful gifts that family and friends can give, and an all-in-one savings plan is a smart decision for the gift buyer. Children born today can expect to pay over $200,000 for a four-year college degree, so not all children can afford college when the time comes. To best prepare for a child’s future decisions, savings accounts need the flexibility to remain relevant as the child matures. These easy-to-use and affordable plans are flexible, and can change with the shifting needs of every family.

Millennials Are Not Afraid to Ask

Members of the millennial generation are starting families. And these millennials who find themselves saddled with significant student debt are hoping to present their children with alternatives. This is why they are not shy about asking family and friends for money to save for their children. In fact, bridal registries often include accounts for new homes and other starter items for new families. Baby registries are beginning to see these same requests, moving away from traditional gifts. 82% of respondents said that they were in favor of having a college fund on their baby registry based on a poll taken by an independent media and technology company.

 

Benefits Of Gifting Saving Plans

Maximize Options

The gift of a savings account is a thoughtful offer from anyone, but it is important that it is done correctly. Investors should choose an account that offers a wide variety of investment options, such as mutual funds, EFTs, stocks, bonds, and more – ­unlike most 529s. Some 529 plans limit the grantor to one change per year, so choosing a plan that has flexibility additionally benefits the child. This flexibility is critical for when you need to change strategies more than once to adapt to a drastically changing economy.

Easily Accessible

With increasing interest in donations to college funds, it is important to choose a savings plan with easy accessibility. Research indicates that over 70% of grandparents are willing to make donations to grandchildren’s savings plans. Family members can gift up to $14,000 each year without paying gift tax. New parents should look for accounts with easy online gifting options to make donations as simple as possible for family.

You can give the gift of a lifetime by gifting a Kiss Trust to a new parent. Start today, and we will give you 60% off the standard price of a Kiss Trust.

Give The Gift Of A Lifetime Start Today And Receive 60% Off

 

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Tags: Trust Fund, DIY, New Child, Gift Trust

Kiss Trust

Creating a Trust
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Kiss Trust is the only patented total trust solution in America. Kiss Trust Is a self-help trust creation tool with integrated trustee services and access to over 5,000 mutual funds, 1,000 ETFs and a brokerage account with stocks and bonds. Kiss Trust lets you create a powerful custom irrevocable trust without the expense and trouble of hiring an attorney.

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