Giving a relative a monetary gift? It might get taxed
It's the one-size-fits-all gift that always fits: money. Who doesn't want to receive a generous gift from a rich relative? And who doesn't daydream about winning the lottery and sharing the bounty with a few friends or family members? For wealthy individuals, gifting is a tool used to pass along their affluence without incurring hefty estate taxes. Plus, they can actually watch their loved ones enjoy it. But gifting has spawned a handful of pervasive money myths. Experts share the top five.How to Give a Tax-Free Gift
"To give a tax-free gift of $13,000 or less to a person, does it have to be a relative or can it be anyone? For example, would my daughter's husband be eligible?"Low Rate on Family Loan can Trigger Gift Tax
"I plan to lend a family member a sum of $30,000 and need to know what interest rate I should be charging him. He will be paying the loan back within six months."
Trending on TDS
- How are relationships affected by money?
- The emotions behind shopping
- Avoiding your parents' debts
- Selling your gold without getting ripped off
- Tips for radical cost cutting
- Video: What are contra-economics?
- Responding to frugal envy
- How to have more money than a lottery winner
- What it takes to borrow against home equity these days
- Financial infidelity: Are you a cheater?
- A cheat sheet on tipping do's and don'ts
- How TV affects your credit card spending
- How to create a budget that works for you
- Money-saving secrets of the rich and frugal