How to Create an Estate Plan. If your net worth is more than $1 million (individual) or $2 million (couple), you need an estate plan - otherwise, your heirs may be sending a high percentage of your estate to the government in taxes after you die.
Things You'll Need
- Legal Advice
- Financial Manager
- Tax Services
- Estate Planning Software
Visit the library or various Web sites to study some general summaries on estate planning and settlement.
Talk to trusted friends and colleagues regarding attorneys and accountants specializing in estate planning and transferring wealth to succeeding generations.
Determine if you are best served by a will, a living trust or both.
Minimize probate costs through gifting strategies, living trusts, and insurance or annuity contracts, as appropriate.
Explore the possibility of qualifying for survivorship (also known as "second to die") life insurance held outside of the estate to pay for estate taxes.
Outline your estate plan in writing, and review it regularly with trusted professionals as tax laws are adjusted or changed.