• Estate Planning for Immigrants

    Yes, your spouse who is not a citizen can inherit property

    Yes, your non US citizen spouse can inherit your property in the USA. There is no problem. So you can name them as beneficiary to your living trust, insurance, 401k plan or IRAs. One threshold question you may have is simply whether you can leave property to someone who isn’t a U.S. citizen.

     

    But the Federal Estate & Gift Taxes are different for Non US citizen spouses

    Most US citizens do not have to worry about paying estate taxes because each US citizen has an exemption of $5.43 million in 2015. Also each US citizen spouse can inherit unlimited amounts from their deceased US citizen spouse. This is called marital deduction.

     

    But this is different for non US citizens who inherit property from their US citizen spouses, because this estate tax exemption does not apply to non US citizen spouses. Green card holders or permanent residents, non immigrant visa holders also cannot avail of the estate tax exemption which applies only to US citizens.

     

    The marital deduction does not apply to non US citizen spouses

    The marital deduction, does not apply when the spouse who inherits isn’t a U.S. citizen, even if the spouse is a permanent U.S. resident. The federal government does not want a non US citizen to inherit a large sums of money, pay no estate tax, and then leave the country to return to his or her native country. The federal government wants its taxes to be paid.

     

    What is the Takeway?

    If both spouses are not US citizens, or if one spouse is a non citizen, then they must have a trust for their assets.

     

    Call us (314) 374-8784 or (314) 932-7111 to schedule a 2 hour free consultation worth $500 to learn more about protecting your family, appointing guardians and saving your assets from the tax man.

     

    This blog is not intended to create an attorney-client relationship. The information contained is strictly for information purposes only.

    H-4 visas to get EAD

    H4 visa holders can apply for EAD starting on May 26, 2015.

     

     

    Contact us for new visa filings at nsm@mlolaw.us

     

    This blog is not intended to create an attorney-client relationship. The information contained is strictly for information purposes only. 

     

    Are you in danger of being sued?

    Do you want to protect your family and assets from lawsuits and creditors? Missouri is a great asset planning state, but the planning to protect assets should start at least 4 years in advance because creditors can sue to set aside the transfer.

     

    The best way to protect assets is to transfer the asset to a trust or other entity or person with no recourse to the owner. A house jointly owned by husband and wife is not protected in the event of a divorce and creditors of a deceased spouse can also sue to recover from the sale of the residence. Hence holding assets in joint name may not always be the answer.

     

    The 529 plans are not subject to federal income tax and can be paid up in advance up to 5 years depending on the plan, and are excluded from the estate of the deceased, so offer asset protection. 

    Professional and umbrella polices may be insufficient to satisfy creditors in a lawsuit which means that protecting other assets becomes imperative. 

     

    Call us at 314-374-8784 or email us at  nsm@mlolaw.us for an appointment.

    This blog is not intended to create an attorney-client relationship. The information contained is strictly for information purposes only. 

    US Visas face overseas outage!

    DOS alert that the Bureau of Consular Affairs is currently experiencing technical problems with its overseas passport and visa systems. The issue is not specific to any particular country, citizenship document, or visa category.

    Visas are not being issued due to a server malfunction on June 9th  in the United States, resulting in delays in issuing visas at Posts overseas and issuance of US Passports at consulates and embassies abroad.  In addition, biometric data was not being processed to allow security checks at consulates to issue visas.

    There are about 100 computer experts from all over the US working on the problem with the system.

    The Takeaway

    Travelers to the US are advised not book trips unless they have a valid visa stamp in their passport.  US citizens are advised to be patient because the system has not be fully restored to enable U.S. consulates and embassies to issue or renew passports.  Any action that requires security clearance or biometrics is likely to be delayed until further notice.  Persons awaiting immigrant visas stamps in their passports are likely to be delayed as well.

     

    Visit our page to learn about 6 Mistakes Immigrants Make that put them in Financial Peril and how to solve those problems.”  http://nsm538.wix.com/protectyourfamily  

     

    Contact us for new visa filings at nsm@mlolaw.us

     

    This blog is not intended to create an attorney-client relationship. The information contained is strictly for information purposes only. 

    H1B Premium Processing Resumes with Immediate Effect!

    USCIS Resumes Premium Processing for Extension of Stay H-1B Petitions. 

    Beginning July 13, 2015, USCIS will resume accepting Premium Processing for all H-1B extension of stay petitions.  H1B extensions requests received by USCIS before July 13, 2015 will be rejected.  

    USCIS previously USCIS Resumes Premium Processing for Extension of Stay H-1B Petitions
    Beginning July 13, 2015, USCIS will resume accepting Form I-907, Request for Premium Processing Service for all Form I-129, Petition for a Nonimmigrant Worker, H-1B extension of stay petitions. Premium processing requests for Form I-129 H-1B extension of stay petitions received by USCIS before July 13, 2015 will be rejected.

    USCIS previously announced on May 19, 2015, that premium processing service would be suspended for  H-1B extension of stay petitions from May 26, 2015 to July 27, 2015. 

    Retirement Planning Guidelines for Every Age

     

    You’re never too young or too old to save for retirement; here are some guidelines by age group:

     

    Under 25:  If you graduated from college with debt, you are certainly not alone – the average debt burden is currently $26,500 for 65 percent of college graduates.  Once you are able to get a good job, you should enroll in your employer’s 401(k) or other retirement savings plan and contribute enough to qualify for your employer’s match – usually six percent of salary.

     

    25-40:  You need to be putting away about 10 percent of your income towards retirement, and that should come before you save for a house or the kids’ college fund.

     

    40-54:  You are in your prime earning years and should be able to contribute 15 percent or more to your retirement savings. 

     

    55-70:  Retirement is within sight now, so you may need to start adjusting your asset allocation to risk.  The closer you are to retirement, the less risk you should be taking.  You should also look into long-term care insurance to protect retirement assets.

     

    Over 70:  Your withdrawal rate should generally be no more than four percent of your total portfolio value, not including an emergency reserve fund, to supplement your income from Social Security or pension.  Once you are over 70 ½, you must take the Required Minimum Distribution (RMD) from your traditional IRA and 401(k) every year, which is calculated based on your life expectancy according to IRS Publication 590.

     

    If you’d like to learn more about retirement planning, call our office today to schedule a time for us to sit down and talk.  We normally charge $500 for a Family Wealth Planning Session, but because this planning is so important, I’ve made space for the next two people who mention this article to have a complete planning session at no charge. Call today and mention this article.

     

    Tel: 314-374-8784 or 314-932-7111.

     

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