My grandfather passed recently and this is all new to me. I'm not getting some life-changing amount, but its enough that I need to figure out how to not get fked with taxes. I'm going to meet with a (fiduciary) financial advisor, but I'm sure some on here know a thing or two as well. In particular, I'm looking at you @TP97 – I'm sure your estate has this sort of thing all under control.
What questions should I be asking my financial planner? And/or what advice should I follow to incur as little tax liability possible?
A few key points /initial questions I have for context:
What questions should I be asking my financial planner? And/or what advice should I follow to incur as little tax liability possible?
A few key points /initial questions I have for context:
- money is being willed to my mom, who is then gifting a % to me
- seems like she should be setting up a trust for this - yes?
- any way to avoid taxes being taken out of both of these transactions or is that just how it is?
- options her financial advisor gave are distributions to me as a lump sum, or over time ranging from 3-9 years
- I'm assuming I should weigh opportunity costs on investment income (with a conservative return rate) v. tax penalties - any other considerations?
- when would it make sense for me to establish a trust?
- I have two kids with an IRA and 529 each. Which should I prioritize?
- what am I missing?
