Low Interest Rates Provide a Favorable Environment for Wealth Transfer and Estate Planning

In a recent article, Wall Street Journal columnist Jason Zweig discusses estate tax planning strategies that are especially attractive given the current low interest rate environment.

Zweig discusses the ability of parents to loan money to children for nine years at a fixed IRS determined interest rate (currently 2.63 percent).

The use of a grantor-retained annuity trust and the associated ability to transfer an asset’s future appreciation to heirs is also discussed.

Source: Wall Street Journal