Rising Interest Rates and Estate Planning: A Word for the Wealthy

Here at Medina Law Group, we serve a wide range of clients, spanning the entire spectrum of household income. To that end, much of our blog content is tailored to inform our entire base of readers. But today, we bring you an important bulletin for our wealthiest clients: Interest rates are up, and they have a direct effect on your estate plans.

We’ve all anticipated an interest rate hike for some time. Sure enough, the Federal Reserve recently introduced the first increase in what feels like ages, and many experts believe they could rise again in the near future.

This isn’t as relevant to the middle class (or even the upper middle class) because, as we’ve reported in the past, the overwhelming majority of American households are exempt from the federal estate tax.

But for those whose estates are, well, stately, the news can mean a shift in your strategy for minimizing estate taxes and making the most of the available tax breaks.

The Wall Street Journal first sounded the alarm in a worthwhile article for affluent families.

The Journal mentions a few of the many strategies that our office can help execute, some of which you’ll want to jump on while rates are still relatively low, including some of our strategic approaches to wealth transfer.
There’s a lot to talk about, and now is the time to talk about it. If your assets are substantial enough to make interest rates and the estate tax a concern, you should get in touch with our Pennington estate planning attorneys as soon as possible. We’re here to help.