o Reasonable Compensation: If your business remains organized as a C corporation paying salaries is critical to avoiding the double corporate tax (corporation tax, plus tax you pay on dividends distributed). If you hire family in your business and want to shift economic value to them, paying them salaries can be an excellent means of…
o Physician investment planning needs to consider malpractice worries, not just investment returns. The structure (who owns an investment) is important. Significant assets rarely belong in your own name. Titling assets in your spouse’s name is also insufficient. LLCs and trusts are likely a better option. Be sure the accounts are set up in…
When you head off into the backwoods it’s always good to take duct tape (usually wrapped around an old pencil stub). Use it to patch a tent, as a bug catcher, to close a wound, and to fix almost anything. Similar creativity can be brought to your estate planning. Standard techniques can be used in…
If your children have received, or will receive, interests in your family business, what steps can be taken to protect the business? o Active Involvement: Carefully evaluate if and when to make your heir an officer or director of the family business. Involving an heir may increase loyalty and motivation. However, bestowing officer…