DENVER, CO--(Marketwire - July 20, 2010) - First Western Trust Bank, striving to be the best private bank for the western wealth management client, has released a report on estate planning changes that could have significant impact on individuals and families in the highest tax brackets.
The report, Strategies for Surviving the Ever-Changing Tax Environment, was authored by First Western's Director of Wealth Planning, Melissa Montgomery-Fitzsimmons, JD. The paper is the latest in a series of educational pieces published by First Western.
In addition to the 3.8 percent Medicare surtax on unearned income that was enacted as part of the health care reform legislation, the absence of estate taxes and the modification of the Generation Skipping Transfer Tax have greatly impacted the 2010 tax landscape.
Ms. Montgomery-Fitzsimmons remarked, "The current environment could negatively impact estate plans in many ways, including disinheriting a spouse or other heirs."
"Moreover, high-earning tax payers will bear the burden of a new Medicare surtax, which will generate more than $30 billion annually, and make up half the revenue to fund the Health Care Reform law," said Ms. Montgomery-Fitzsimmons.
The paper includes a number of tools to help people minimize their tax liability and to formulate an estate plan that still accomplishes their goals. According to First Western, planning opportunities exist in the form of gifting, charitable donations, low interest rate loans, life insurance, specialized trusts, Roth IRAs, and 401(k)s.
"The nuances and complexities of the new tax law can be overwhelming," says Ms. Montgomery-Fitzsimmons, "and between the Medicare surtax and the absence of estate taxes a lot of people are going to be affected. We can't stress enough the importance of everyone reviewing their current wealth and estate plans with a skilled financial advisor."
The report -- Strategies to Survive the Ever-Changing Tax Environment -- is available at http://www.fwtb.com/resources.asp.
About First Western Trust Bank
First Western Trust Bank is striving to be the best private bank for the Western wealth management client, providing comprehensive tailored solutions in the areas of wealth planning, private banking, investment management and trust services. With over $3 billion in assets under management, First Western was recently ranked by Inc. magazine as one of the fastest growing bank/bank holding institutions in the country. Built specifically for the new economies of the West, First Western Trust Bank and its affiliates have offices in Arizona, California, and Colorado. For more information, please visit www.fwtb.com or call 303-531-8100.
Disclosures: First Western Trust Bank cannot provide tax advice. Please consult your tax advisor for guidance on how this information may apply to your specific situation.
Contact Information:
For more information, please contact:
Rebecca Macsovits
First Western Trust Bank
(303) 531-8100