Besides peace of mind, a sound estate plan can cover a variety of financial concerns and interests, including:
- Providing Survivor Income.
Through an estate plan, an income for a surviving spouse and dependent children can be guaranteed in such a way as to minimize taxes at the second death.
- Bequests to or for Children.
Very often, provisions for children's (or grandchildren's) education are made through an estate plan. If the client has a disabled child, special provisions for that child's care must be considered. Finally, if one child is to receive a substantial asset, such as a business interest, an estate plan can equalize inheritances to other children through the purchase of life insurance.
- Gifts.
The impact and desirability of lifetime gifts can be evaluated through the estate planning process.
- Retirement Income Planning.
An estate plan must consider the most advantageous way for clients to plan for retirement and how the payment of retirement benefits impacts the estate.
- Business Disposition Planning.
Since a business interest can represent a substantial portion of the owner's estate, solid estate planning addresses how that business interest will be transferred, sold or liquidated at the owner's death, both in terms of impact on the estate, and on surviving family members and business associates.
- Charitable Giving.
For the client interested in making charitable bequests, several tax-advantaged methods can be evaluated through the estate planning process. A gift of life insurance is an excellent way to transform a small annual gift into a substantial donation at the estate owner's death.
