Norma Stanley discusses the importance of beneficiary designations and estate planning
Attorney Norma Stanley talks about the importance of estate planning and discusses tax issues
Small business owners – is your compensation reasonable?
If you are an employee of a company for which you are also an owner, you should consider reviewing your current compensation for its reasonableness. It is very common for small businesses to be formed as Subchapter S corporations. In these types of business, owners are also often employees of the business. The owners may be willing to take a smaller salary because they will eventually receive the business profits anyway. If this describes your business, be careful. The Internal Revenue Service continues to focus on whether compensation paid to employee owners is fair and reasonable when auditing small businesses, particularly S corporations.
You moved to Florida, do you need a new Will?
Not always, but there are several important reasons you should consult with an estate planning attorney to be sure. Most states will give effect to a Will executed properly in the state where the Will was created. However, if the testator is a Florida resident when he or she signs a Will in another state, even if the Will is properly executed in the other state, it will not be valid in Florida unless the execution also meets Florida’s requirements for the execution of testamentary documents. In other words, if a Will is signed in Minnesota at the time the individual is a Minnesota resident, and later the individual moves to Florida, the Will will be valid in Florida. On the other hand, if a Florida resident executes a Will in Minnesota which satisfies the execution requirements in Minnesota, but not in Florida, the Will is not valid in Florida. For a valid Will to be admissible to probate in Florida, it must have a self-proving affidavit executed at the same time as the Wills or the person admitting the Will must offer the testimony or a notarized Oath of one of the witnesses to the Will.