Estate plans are very beneficial for celebrities, entertainers and athletes. One of the biggest reasons is because, as an entertainer, you are a brand. You offer some sort of intellectual property to the public. From actors to musicians and basketball players, there is a talent there that continually creates. That means these things should be protected in the event of an untimely death or incapacitation.
Estate Planning Information | Charlotte Entertainment Lawyer
Below, you will find several reasons why it would be beneficial to have an estate plan in place, as an entertainer.
Irrevocable trusts allow for assets to be distributed properly with instructions. However, the irrevocable trust exams all assets from federal and state taxes in the event of death. That means that the assets are no longer your personal belongings.
Estate taxes are often very high. Some can be up to 40 percent of all estate assets. Because this can take quite a bit of wealth out of the overall estate, many people choose to put their belongings in an irrevocable trust to further protect their loved ones after their passing.
Once your possessions are included in this type of trust, they are on able to be removed. The irrevocable trust will have its own tax ID number and will be considered in that way each and every tax year.
A revocable trust is one that holds all assets but allows for changes to be made or assets to be taken out at any time. Instructions on how to distribute assets may also be included. However, sometimes the revocable trusts aren't ideal in terms of taxes on the estate in the event of death. Unlike the irrevocable trust, revocable trust leave the state taxes to be paid after death.
We hope this information helps you better understand estate planning and what might be most beneficial for you. If you need more information or would like to speak with our lawyer please consider contacting us. While these trusts are available to use, they're not mandatory. There may be other ways you would rather use. Be sure to visit back with our next blog post to learn more about various other estate plans.
Call the law office of Klish and Eldreth to make an appointment with a Charlotte entertainment lawyer who has experience in the entertainment industry.
At Klish and Eldreth, our entertainment lawyer in Charlotte also has experience working as a producer in the industry. The knowledge he has gained from working in entertainment can help him understand your issues more thoroughly. Call our office today to learn how we can help you with your entertainment law needs.