Post Tagged with: "Money"

Trusts for Minors: Leaving Money and Property to Your Kids

a lawyer consulting a familyMinor’s trusts, trusts for minors, or trusts for children are particular kinds of trusts used for holding and distributing assets to minor kids. These typically dictate the property and money assets that would be held in a trust until the beneficiary is 18 or 21 years old. The settler, the one establishing the trust, might put conditions that should be satisfied for the beneficiary to claim assets in the trust. For instance, the beneficiary could only receive the assets once he or she graduates from college or marries.

Requirements for a Valid Trust for Minors

For a minor’s trust to be considered valid, it should meet basic qualifying requirements for trusts, according to a probate attorney in Denver.

  • The only beneficiary stated in the trust is the minor.
  • All original assets, as well as income generated by the trust, should be transferred to the beneficiary once they’re of the age of majority, which is 18 or 21 years old, depending on state law.
  • The beneficiary is allowed to distribute the assets held in trust if he or she passes away before reaching the age of majority. For example, he or she could state how assets in the trust could be distributed whether in a valid will or another valid, legal document.

Advantages of Setting Up a Trust for Minors

The most important benefit of leaving assets in a trust for your child is the tax exemptions. In general, parents are allowed to gift their children money without tax consequences, but only up to a set amount. This is called the gift tax exemption.

But for you to qualify for this tax exemption, your child should have immediate access and control over your money gift. This means that standard trusts don’t qualify for the gift tax exception because the beneficiaries don’t have immediate access and control over them.

Establishing a minor’s trust for your child is a complicated matter since you need to take into account various considerations because the trust won’t be claimed for many years to come. That said, consult a local attorney for help in drafting a trust for your child to ensure that it’s valid.

September 17, 2018 at 7:11 amMind of Money

How Women Ought to Spend Hard-Earned Money

Gender differences in salaries between man and womanThe latest stats show that women are earning as much or more than their male counterparts. According to this post from Time, some 50 percent of non-farm jobs in the U.S. are being held by women. The number of female entrepreneurs is growing too, owning a third of U.S. companies.

If you are one of these feisty females enjoying economic power, how should you spend your money? Here is a list of smart purchases you ought to be making to maximize your earnings.

A good mattress and high thread-count luxury sheets

Durable and comfortable, not only will these last you a long time, they help you get a good night’s sleep, which you will need to take on a hectic day. The point is to invest in self-care so you can max out your productivity.

Versatile clothing and comfortable footwear

Even if you’re not particularly into fashion, slipping into something that fits well, is in style and can be appropriate for corporate or cocktails is essential in business.

A real piece of jewelry

A piece of custom jewelry here in Salt Lake City shops is an incredible investment. Not only can you use it to attract even more opportunities, but it also carries real economic value that will not depreciate over time. Buying jewelry you love is a great way to grow wealth.

This New York Times article lists down more reasons to shell out good money for jewelry.

Skin care products

By the time you hit 30 or 40, there is very little you can do to reverse the skin damage caused by a hectic lifestyle. If you can afford it, invest early in quality skin care products that protect and nourish your skin so you will not have to worry about them too much as time goes by.

Productivity tools

Anything that can help you do more in less time should be your next guilt-free purchase. It can be a high powered food processor in your kitchen, a scanner in your home office, smart lock systems for your doors, or cool cleaning gadgets for the lazy.

Investing in the right purchases can help preserve your wealth and allow you to do more with your unique talents!

October 19, 2017 at 1:00 amMind of Money

3 Things You Need to Know About VAT Funding

Accountant's spreadsheet and calculatorVAT stands for Value-Added Tax. This is a type of tax that is often added to a product if there is value added towards the final sale or during the final stages of its production. For instance, if you buy a laptop that is produced somewhere in Europe, the laptop manufacturer pays VAT on every piece of material used to produce the said product. As the end consumer, you pay the applicable VAT. Now, there are cases when the manufacturer needs to get a loan to pay for the VAT they are being charged with.

Corporate and Medical Finance Ltd lists some of the things you need to know about an application for VAT loans.

How does a VAT loan work?

First, you need to find a lending company that offers VAT funding. You inform them about the amount of VAT debt you need to pay, and they will create a proposal to finance the debt for a particular period, normally between three and 12 months.

What are the advantages of getting a VAT loan?

For several SMEs, VAT payments can largely affect their cash flow, especially if there are a lot of challenges and setbacks. This means that the company often need to reduce their working capital just to cover the VAT payments. A VAT loan or funding can help SMEs lighten their load by stretching the payments within a specific term, freeing up any bottlenecks without the worry of being delayed in VAT payments.

Do I need to have good credit to have my VAT loan approved?

Like any loan, lending companies conduct credit and risk profiles checks to ensure credibility and establish good status before the VAT funding is approved. This is why borrowers are advised to work on their credit scores first so they can easily apply for VAT funding and help their cash flow to improve.

Get a VAT Loan Today.

If you’re having trouble with your VAT payments, consider applying for VAT funding. It’s a good and flexible financial solution to your VAT payment problems.

 

 

September 13, 2017 at 5:26 pmMind of Money