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Let’s talk about what’s currently going on with Estate Planning, Asset Protection, IRS/Taxes, and Elder/Veter- 
an Planning.

ESTATE PLANNING. Rumor has it that about 90 percent of us are walking around without a valid testamen- 

tary instrument—either a Testamentary Trust or Will. And for those who have them, many would not qualify as 

current. he big, bad monster that used to scare clients into our oice has efectively died. I am talking about the 
estate tax. Unless you are worth more than $5.43 million by yourself—or $10.86 million with your spouse—then 

you don’t have to worry about having to pay tax.
However, the real reason to do your estate planning still exists: How do you leave your things to loved ones 

without hurting them?
he answer is, “very carefully.” A lot of thought must go into this planning, and though you might know all of 

the answers, you might not know all of the questions. hat is why you need a specialist. Trusts need to be formed 

to hold assets until they are needed. I irmly believe in lifetime spendthrift trusts, where you can get the money 
anytime you would like and where no one can make you go get it and give it to them. Additionally, the new focus 

in Estate Planning is how to capitalize on the free step-up in basis that may be available to your estate. Only a 
tax expert can help you with that.

ASSET PROTECTION. Asset Protection is the new focus for those who wish to plan their futures, instead
of letting life happen to them. Tennessee is surprisingly a “shining star” in this area. In 2007, Tennessee enacted a 

DAPT—Domestic Asset Protection Trust, TCA Title 35 Chapter 16, known as the TIST Trust. his trust was 
recently ranked third in the nation. his is a trust that almost everyone should have to protect their homes and 

other assets and investments. here is also a new Tenants by the Entirety Trust Act which is designed to put your 

homes in. Depending on your circumstances, you may want to use this trust (although the TIST trust is more 
comprehensive). Protecting your assets is a no-brainer.

IRS/TAXES. If you owe the IRS a lot of money, there is yet new hope for you. I have saved my clients millions 

of dollars by primarily utilizing a procedure called an “Ofer in Compromise,” a formula that at our oice is at an 
efective 75 percent discount. his game is not for amateurs, so make sure your advisor knows what he is doing. 

Using an out of town advisor makes little sense as it doesn’t aford you the option of talking face to face with 

them. It makes more sense to have an advisor close to home with plenty of experience in this arena.

ELDER/VETERAN’S PLANNING. I now ask everyone if they are a veteran or if their parents are veterans 
because the pension available to them is fantastic. Most people don’t know where to get straight answers. We 

do many Irrevocable Veteran’s Asset Protection trusts that qualify veterans for the Aid and Attendance Pension 

Beneits, which additionally helps them in their Medicaid Planning. Many people complain to me that if they 
had only known, they would have done this long ago and not missed out on this “free money.” Remember, the 

look-back period is ive years, so the sooner you plan to utilize all of the current strategies available, the better.

his letter does not purport to cover all of the planning opportunities that are out there. Others may be right 
for you. If you have any questions or would like to know more, contact me for a consultation. I also have materials 

that I share for free with people to help them understand certain strategies. Remember the old saying, “If you fail 

to plan, you plan to fail”.

Call Jeannie Reed at 865-690-5566 or e-mail 
Visit our website at

Phil Bryce has more than 30 years of experience as a professional advisor (CPA, now inactive, and Attorney) in the ields 

of Estate Planning, Asset Protection, and IRS representation. He additionally is a Department of Veteran’s Afairs Accredited 
Attorney. Phil has been voted numerous times as one of Knoxville Top Lawyers in Cityview magazine and was listed in 2013 
as one of the Top Lawyers in Tennessee in the Legal Network

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