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At Brogan Financial, we believe that estate and legacy planning is an essential component of a financial plan. A well-written estate plan will protect your legacy both while you’re alive and upon your death.

The first part of your estate plan protects you while you’re alive. Who will pay your bills and administer your affairs when you cannot? Who will make you medical decisions when you cannot?

The second part of your estate plan addresses what happens to your life’s savings when you pass away. Who gets what, and how and when do they get it? What types of controls, if any, do you want to have in place? How do you minimize any tax repercussions to your loved ones?

At Brogan Financial, we work with legal and tax professionals to create a plan to enhance your legacy:

  • What are some common mistakes made with a will?
  • Do you need a trust, or is a will sufficient?
  • What are the major questions to ask when drafting your powers-of-attorney?
  • What is an IRA Asset Will?
  • Understanding the IRA tax time bomb, and how to diffuse it

Whether you already have an estate attorney or you need a recommendation, we work with you and your legal professional to create a legacy plan that is congruent with your total financial plan.

The Missing Estate Plan:  Handling IRAs, 401(K)s and Other Retirement Accounts

Perhaps the most overlooked area in estate planning today is planning for the ultimate distribution of your retirement accounts. First, you should understand that retirement accounts pass separately from the will when you name beneficiaries. This process can create opportunities, but it can also create challenges.

For most retirees, the retirement accounts are among the largest assets in the estate. Yet their distribution is being governed by the beneficiary designation, which has very little room for legal language. Consequently, most beneficiary designations do not have sufficient language to cover the important considerations you typically see in wills.

Second, the retirement accounts present the greatest tax issue for most retirees to plan for at death. The income taxes have typically never been paid on most if not all of the money in these accounts. If you don’t pay the income tax, who do think will? Your heirs.

When you leave your children and grandchildren retirement accounts, you are essentially leaving them a tax time bomb. What tools can you provide them to diffuse the time bomb?

At Brogan Financial, we help clients create a detailed IRA distribution plan to solve the following common challenges in their estate plan:

  • Why many families could disinherit their grandchildren
  • Why some IRAs pay as much as 70 percent or more to the IRS
  • How to use your retirement account to create a family legacy
  • Understanding Roth IRA distribution rules at death

Effective estate and legacy planning helps you allocate your assets according to your wishes, while taking into account the tax repercussions you might not have considered. At Brogan Financial, we’re here to help you take care of your assets now and later, while focusing on the legacy you wish to leave behind.

It's humbling and enthralling to know your legacy when you're alive. - LAURA SCHLESSINGER

How May We Serve You?

If you would like to schedule an introductory meeting in our Knoxville office, please contact us.