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Using a Family Limited Partnership, Elder Law Attorney, Woodstock, GA


A family limited partnership can be used to lower your tax burden and transfer wealth to future generations of your family.

One reason people seek the advice of estate planning attorneys is to lower their potential estate tax burdens in a way that does not limit their ability to manage their assets. People might be aware, for example, that the gift tax exemption allows them to give assets to family members, which lowers the value of their own estates. However, it has the drawback of losing control over the gifted assets.

With proper estate planning people can take advantage of the gift tax exemption and retain control over the gifted assets.

One way to do that is by setting up a family limited partnership as New Jersey 101.5 discusses in “Benefits of a limited family partnership.”

In a family limited partnership the general partner owns a 1% share of the partnership and the other 99% is given to other family members. The general partner, however, has full control over the management of the partnership and its assets.

Because ownership is limited to family members assets transferred through a family limited partnership receive a discount for gift tax purposes. Essentially the gift tax exemption can be stretched further than if assets are given away directly.

The family limited partnership can be used to give family members extra income now or to allow wealth to grow for later use.

Because family limited partnerships have tax consequences both for the person creating one and potentially for the other family members involved it is important to seek the advice of a qualified attorney when founding and managing the partnership.

Reference: New Jersey 101.5 (May 18, 2016) “Benefits of a limited family partnership.”

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“On the threshold of retirement, we finally decided to quit thinking we could self-prepare the requisite documents. We had previously had only a very simple will. We needed the necessary legal (including updated will) & health care docs but didn’t want to deal with the time & complication of legalese. Cindy made the process relatively painless. She took the time to explain and answer questions without trying to upsell services. We were done in 2 meetings plus the reading of emailed drafts. In addition to preparing the documents, Nelson Eldercare will be there when our adult children need advice on executing the plans we’ve put in place.So glad it’s behind us and would recommend Cindy and her helpful staff.”

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The very best elder law attorney and staff anyone could ever ask for! I have referred a number of clients to Cindy and she never disappoints. She is kind, caring, and extremely thorough in making sure everything is completed as it should be. I highly recommend Cindy for anyone needing lawyer services; she truly goes above and beyond for every client she helps and has had a huge impact in so many peoples’ lives. Thank you, Cindy and staff, for everything that you do- I’m so glad to know you!

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I heard Cindy’s presentation at a Senior Luncheon at my church, and was very impressed. She helped my daughter and me understand many aspects of elder law. Josh has also been very helpful in my planning to enter an independent living situation . I have told many friends about them.

- Charlotte

Cindy and the Nelson Elder Care Law team are trustworthy and helpful. They are the experts in elder care law. At Leaf Cremation, we entrust our families to the care of the Nelson team when their services are needed.

- Pierce