One of the most important aspects of any estate planning package is the creation of a system by which one's heirs are able to inherit wealth with as little taxation as possible. For Oklahoma families who have amassed a level of wealth that exceeds the current estate tax exclusion amount, it is important to create a plan that will protect assets from excessive taxation. One such solution is found in the creation of Generation-Skipping Trusts (GST).
As some Oklahoma residents have already learned, protecting assets may be difficult. For many individuals, there are reasons to use tools for asset protection, especially those that offer enhanced security for the future of an individual's family. Asset protection trusts are an example of such a tool.
A comprehensive Oklahoma estate plan may include bypass trusts, especially in high-asset families, because they may mitigate the taxes faced by an estate after a benefactors dies. A bypass trust strategy may be effective, but its advantages may be limited due to the portability of estate tax exemptions and other factors.