What's better than leaving money in your will for your children and grandchildren? Helping them now with the funds they need for educational and medical expenses. The kids are able to appreciate the gifts; the grandparents can hear the thank yous.

There are simple ways to do this. You can give $13,000 in cash or other assets to as many people as you want, without incurring any gift or generation-skipping taxes. Spouses can give the same amount, adding up to an impressive $26,000 per person. Gifts to minors can go into a custodial account - but the donor must not be the custodian of the account. The custodian-parent can use the money to fund enrichments like summer camp and dance lessons.

Another tax-free way to move money is with Section 529 savings plans. A grandparent can also pay tuition, medical and dental expenses directly without using the annual gift exclusion. But lending money calls for loan documents and charging interest.

Save on taxes now and later. We'll show you how at G M Hietpas CPA, LLC.