Custodial Account—Uniform Gift/Transfer to Minors Act

Estate, Tax

For a minor to own investments in his or her own name, a custodial account must be used. A custodial account is established through the Uniform Gift/Transfer to Minors Act and allows a custodian to control a savings account until the child reaches the age of majority, when the account becomes the sole possession of the child. For more information about custodial accounts and to learn about some the advantages and disadvantages, read this Financial Strategy.

“We Have Moved”—Did You Tell the IRS?

Tax

In the event that you move, you are required to inform the IRS of your new address and contact information so that they can update it in their files. If you fail to do so, any vital information regarding your taxes that is sent to your "last known address" is legally effective, even if you never received it. For more information about the steps to take to keep your information up-to-date with the IRS, read this C.P.A Insight.

Real Estate Investment Trusts

Investment Selection

Real estate is a common investment option for many investors, often done through the purchase of Real Estate Investment Trusts, or REITs. There are several different kinds of REITs, as well as many advantages and disadvantages to purchasing them. For more on the different types of REITs and to learn a little bit about investing in them, read this Investment Whys.

Disability Insurance for Professionals

Insurance

Statistics show that an individual is much more likely to become disabled in their earning years rather than suffer death; however, many professionals are still surprised to learn that disability insurance is more important than life insurance. For more information on disability insurance for professionals, types of policies, and to learn which policy may prove to work best for your needs, read this Insurance Know-How.

Business Owners—Consider Buy-Sell Agreements

Insurance

The decisions a company faces after one or more of its owners pass away are hard, especially when several parties are involved. One way to preempt confusion regarding the shares of a company left behind by the deceased party is to consider a buy-sell agreement. For more information about buy-sell agreements and the two types that are available, read this Insurance Know-How.

The Probate Process

Estate

When dealing with the validity of a Last Will and Testament, cases such as these go to the Probate Court. Assets involved can be divided into probate and non-probate assets. For more information on the probate process and to determine which type of property you may be dealing with, read this Financial Strategy.

Tech Tip—Backing Up Data

Cybersecurity

Backing up vital information and data from your personal computer is important in the event your computer is stolen or destroyed. One way to back up personal data, such as pictures and files, is to store it on a removable hard drive. For more information and tips on backing up personal data and protecting your PC, read this Financial Strategy.

The Living Will

Estate

A Living Will is a document that expresses a person’s desires and preferences about medical treatment in case he or she becomes unable to make their own decisions. The difference between a Living Will and a Will is that a Will takes effect upon a person’s death, while a Living Will is used to protect assets that could be drained for medical expenses. For more on Living Wills, their benefits and the rules regarding their use, read this Financial Strategy.

Income and Stock Options

Tax

Stock options have become a very popular way of compensating or providing added benefits to employees. Two types of stock options are Nonqualified Stock Options and Incentive Stock Options. Both options require proper planning and timing to minimize the tax consequences. For more information about income and stock options and to learn more about what each one entails, read this C.P.A. Insight.