Planned Giving News and Information
July, 2016
The following is intended as general information and does not represent legal or tax advice. The information presented is the view of the author. Individual circumstances vary - please consult your legal and tax advisors about your specific situation. To return to the general planned giving pages, please close this browser window. This News and Information section has been compiled by Future Focus.

I love to do things for children because I get a kick out of it. Therefore, I am a selfish person and no philanthropist.

W. K. Kellogg– Cereal magnate, philanthropist

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Five Ways that the House GOP Tax Plan Would Make the Tax Code Simpler (and One Way it Wouldn’t)
Last month, Congressional Republicans unveiled a tax plan that would make major changes to the U.S. tax system. So far, much of the news coverage has focused on the plan’s promise to “dramatically simplify our broken tax code.” But how, exactly, would the plan go about doing this?
By my count, there are at least five major elements of the new House GOP tax plan that would significantly simplify the U.S. tax code. Read more.

Screenings You Need and Don’t Need
While getting regular tests for certain diseases and medical conditions can prevent health problems down the line, two tests can do more harm than good.
Many Medicare and other healthcare plans urge their clients, especially older ones, to get regular health screenings, such as colonoscopies. Finding serious medical issues early can mean a longer and healthier life, as well as financial savings for both you and the healthcare plan. Yet, despite all the recommendations, less than 25 percent of Americans ages 50 to 64 and less than half of those over age 65 are up to date on screenings.
Which tests should you get and which don’t you need? Researchers are questioning the value for older adults of two common tests. Read more.

Mary had a little stock whose gain was quite a bit!
Sometimes, combining planned gifts can have tremendous benefits, especially when the donor really doesn't give up much at all. Sometimes (most times) it pays to think outside the box. In this article I’ll be showing you how Mary can sell her stock, reduce her income taxes on the capital gain from the sale and make a significant charitable gift without changing her lifestyle. You’re probably thinking this is a charitable remainder trust, but it’s not.

Mary is age 70 and has a significant amount of zero basis stock in a single company where she worked for many years. She would like to diversify to increase her income, but she doesn’t like the thought of the taxes she would have to pay. So what can she do? Read more.

Position Optimization
Achieving higher after-tax returns, both over your clients’ lifetimes and for subsequent generations, is the main goal of most portfolio strategies.  However, while most advisors spend a great deal of time and energy determining the mix of assets and securities that their clients will invest in, many are overlooking another tool for maximizing returns: position optimization.
Position optimization strategies take into account the tax characteristics of three types of investment accounts — traditional IRAs, Roth IRAs and non-qualified accounts — in allocating assets.  All three of these account types have unique tax attributes that can affect wealth accumulation over time. Read more.

How do I change or revoke a will?
Your will does not take effect until you die. You can create a new will or revoke or amend an existing will up until your death.
A will remains valid until properly revoked or superseded. Revoking your will must be done very carefully. Most state laws require that the will be revoked by a subsequent instrument (a new will) or by a physical act (e.g., destroying or defacing it). This means the will must either be burned, torn, or canceled with the intent to revoke. You might, for example, write REVOKED across the will and sign and date the revocation.
You can amend (change) your will by executing a codicil. A codicil is a separate, written, and formally executed document that becomes part of your will. More specifically, a codicil is a supplement or addition to a will that explains, modifies, or revokes a previous will provision or that adds an additional provision. A codicil generally should be used only for minor changes to your will. You should execute a new will if there are many changes or a major change.
An example of a codicil is available on our website. Read more.

Ways To Boost Your Credit Score in 2016
Have you resolved to improve your credit score in 2016? We might dislike FICO, but the financial system still largely depends upon those three digits. If your goal is a higher credit score, here are five tips to help you get there. Read more.

What You Need to Know if You Get a Letter in the Mail from the IRS
Each year, the IRS mails millions of notices and letters to taxpayers for a variety of reasons. If you receive correspondence from us:

  1. Don’t panic. You can usually deal with a notice simply by responding to it.
  2. Most IRS notices are about federal tax returns or tax accounts. Each notice has specific instructions, so read your notice carefully because it will tell you what you need to do. Read more.

Stolen Identity Refund Fraud Prevention Act of 2016
On May 16 the House of Representatives passed the Stolen Identity Refund Fraud Prevention Act of 2016 (H.R. 3832). The Senate Finance Committee previously passed a similar bill. The act now moves to the full Senate for a vote. The bill was introduced by Rep. James Renacci (R-OH). He and his wife were victims of tax refund fraud. The bill is designed to facilitate better IRS assistance for identity theft victims. There are four major provisions in the act.

  • IRS Contact – There will be a central contact in the IRS offices for all identity theft victims.
  • IRS Notice – If the IRS suspects identity theft, the IRS will notify the affected taxpayer.
  • Filing Study – The IRS will conduct a comprehensive study to review options for victims to opt out of electronic filing. Filing paper returns will protect most victims from a second theft.
  • Information Sharing and Analysis Center (ISAC) – The IRS will develop a single center to collect and analyze identity theft data. The goal will be to find new methods to reduce identity theft.


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Please note, individual financial circumstances will vary. The information on this site is meant as general information and does not represent legal or tax advice. The information presented is the view of the author. As with all tax and estate planning, please consult your attorney or estate specialist. All material is copyrighted and is for viewing purposes only. This News and Information section has been compiled by Future Focus. Please report any problems to webmaster.