When it comes to estate tax planning, leaving the finer details to chance can put you at a financial disadvantage. Without a road map in place, the burden of navigating your estate finances may fall on your family. Partnering with a CPA is a proactive way to make sound decisions about your estate. Here are several reasons why it pays to hire one.

Why Are CPAs Excellent Resources for Estate Tax Planning?

1. Provide Tax Expertise

The best CPAs have extensive knowledge of tax laws applicable to estate management. For instance, the federal estate tax applies to any real estate property, cash, and other assets you plan to transfer to your surviving beneficiaries. Depending on your tax bracket, you may or may not have to pay it. A CPA will determine which federal and state taxes are required for your unique estate planning needs.

2. Prepare Customized Solutions

Having an estate tax plan in place now will save your loved ones grief should something happen to you. With a CPA’s unbiased guidance, you can determine factors such as asset allocation, beneficiaries, final wishes, and the tax planning implications of it all. Without a plan, the state will likely make these decisions, which may not be advantageous for surviving beneficiaries.

3. Offer Trust Set-Up Assistance

You’ve probably heard of trusts but aren’t familiar with how they work. They typically serve as financial protection for your property and other assets. Trusts also help to reduce estate taxes. A CPA will walk you through the various types of trusts to determine which structure will fit your estate’s tax planning needs. This setup is especially important if you have children with a former spouse and additional children with a new spouse.

4. Does the Work for You

Because of the complexities of estate tax planning, the process can be overwhelming. Mistakes can be costly in the long term. When you hire a CPA, they will do the bulk of the paperwork for you. This includes preparing legal documents according to your wishes and completing the necessary tax forms.

You don’t have to worry about the intricacies of estate tax planning on your own. Since 1990, the office of William G. Molitor, CPA in Saint Peters, MO, has helped individuals, families, and business owners by providing professional financial expertise. What makes the firm unique is its impeccable attention to detail and a focus on understanding your individual financial needs. To schedule an appointment, call (636) 926-0502. Visit the website for more information on the firm’s full lineup of services.