Originally posted on December 2, 2011 here.

You are allowed to give the gift of tuition to your children and grandchildren. More specifically, you can pay tuition to an educational institution on behalf of a loved one without triggering any gift tax or generation skipping transfer tax.

With the costs of education skyrocketing, more and more tuition bills are ringing in upwards of $20,000 or even $30,000 per year. Making gifts of that magnitude during life through tuition can save thousands down the road. At the end of a four year college education, the student graduates with a college degree, with less student debt, or perhaps even debt free, and you have gifted as much as $120,000 for the benefit of that student without paying any gift tax

Maybe it is all the time spent with friends and family, or the spirit of giving, or maybe it’s just all the mistletoe, but whatever the reason, the few months from Thanksgiving through Valentines Day always seem to be filled with engagements. As all of these happy couples begin to plan their weddings, and their lives together, many spend more time thinking about the band, picking out the perfect cake or looking for that perfect starter home than they do preparing for what may happen if things unravel down the road. Unfortunately, today the odds are not in favor of happily ever after.

Divorce is a difficult reality that many couples will eventually face. Entering into a prenuptial agreement before walking down the aisle can protect