May 16, 2008

As we head into the 24th of May weekend, many of our listeners will be headed to the cottage…many will spend the weekend cleaning, repairing, and preparing for a summer of family fun. Cottages are also frequently a valuable investment, with a great deal of emotional value, and I find this is a common issue that is overlooked in many financial plans. Years of enjoyment may also mean years of appreciation, and that increase in value may mean a large tax issue is lurking in your estate. Passing a cottage from one generation to the next may be desirable, but is it achievable?

A properly crafted financial plan can deal with this, along with many other issues. As you clean your cottage, think about the value of making sure your estate plan is just as tidy.