The Law Offices of Scott Alan Morrison, P.A.
Please Call For An Appointment

Clintons utilize trust planning strategy to avoid estate taxes

Everybody in society needs to pay their fair share; however, nobody wants to pay more taxes than they need to. Bill and Hillary Clinton seem to have taken this approach in their political positions and their personal estate administration plans. As many in Maryland may remember, the Clintons have been strong supporters of legislation to raise the estate tax. On the other hand, the Clintons’ estate planning strategies show they are doing whatever they can to avoid having to pay estate taxes themselves through the use of trust planning.

This type of estate planning strategy is used by all types of people, but it can be especially effective for those with a high level of income and assets, such as the Clintons. Trusts help shield assets from being hit with estate tax charges. This can be significant since the estate tax can take as much as 40 percent of one’s assets following death. The Clintons are doing whatever they can to avoid the impact of estate taxes.

They have done this by putting the ownership of one of their homes into a residence trust in 2011. The residence trust, which was created in 2010, shields appreciation of the property’s value from being liable for estate taxes. By using this type of trust planning strategy, the Clintons have saved their intended heirs from having to pay large amounts of estate taxes. Although the Clintons supported lowering the exemptions for estate taxes to $3.5 million per person, the estate tax exemption level is now $5.34 million per person.

However, just like anybody in Maryland or any other state, the Clintons will have to pay attention to any changes to estate planning laws in order to adjust their trust planning accordingly. Also, changes to one’s personal life, such as divorce or remarriage, can significantly affect one’s estate planning strategies. Therefore, it is important to update one’s estate plan periodically.

Source: Bloomberg, "Wealthy Clintons Use Trusts to Limit Estate Tax They Back", Richard Rubin, June 16, 2014

No Comments

Leave a comment
Comment Information
  • Best Of The Best The Frederick News Post
  • Bar Association Of Frederick County, Maryland
  • NAELA National Academy Of Elder Law Attorneys, Inc.
  • Maryland State Bar Association Inc.
  • Washington County Bar Association , DC Bar
  • Law Offices of Scott Alan Morrison is a BBB Accredited Lawyer in Frederick, MD
Form Submit Button

Schedule Your Free Consultation Today

For more information and a free consultation with a Maryland estate planning attorney, call us at 301-694-6262 or fill out the form below. We provide clients with the estate services they need.

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

We have offices in Frederick and Maryland, to serve you.

Evening, weekend and off-site appointments are available upon request. Free parking is available at our Frederick office.

Our office will follow the same closing & delays as Frederick County Public Schools for both offices due to inclement weather.

The Law Offices of Scott Alan Morrison, P.A.
141 W Patrick Street
Suite 300
Frederick, MD 21701

Toll Free: 866-220-5185
Phone: 301-694-6262
Fax: 301-668-8884
Map & Directions
Frederick Law Office Map

Contact This Office Contact This Office