Estate planning is not only about dying; it is a lifelong process. The impact of estate planning extends beyond the span of an individual life, it impacts the surviving spouse as well as future generations. Estate planning is a very personal matter, that is why you must feel comfortable with your planner; proper planning represents the review of the "estate" you have created, the children you have raised and your intentions as well as capability in preserving the assets for your beneficiaries.
Estate planning represents the "charted" distribution plan that covers not
only who you leave your estate to, but also in what manner you wish to implement
your intentions. With very rare
exception, there is a strong sense of relief when you have completed your estate
plan. Also, the planners you are
involved with must be capable of keeping your plan "current", you must be
constantly updated regarding the ever changing status of the tax laws as well as
tax related rulings.
The average person marrying today for the first time will spend more time caring
for parents than raising their own children.
In today's world, the average person, in one lifetime, will have more
spouses than children. This movement in personal lifestyles as well as financial
priorities challenges you as well as your adviser's ability to protect your
legacies. The value of a competent estate planning team cannot be overstated.
It takes a good quotient of patience and effort to coordinate the right
team of professionals for your planning needs; but this is the only way to truly
allow your intentions to become reality. Several
professionals are required to implement your objectives-the estate planning
attorney, the certified public accountant, and the financial planner. These
professionals must coordinate your objectives and honor your desires in creating
the appropriate financial plan as well as the efficient estate tax plan to
result in the right program for you. This is a critical ongoing process; your
team must have the ability to work together, to identify your needs, to ask the
necessary questions and to zero in on the issues in order to create
solutions---or it just won't work!
Effective estate planning requires talking about issues you do not want to
address-death and taxation. The
alternatives are simply brutal; perhaps a spouse without the benefit of any
planning, which makes the government your ultimate beneficiary, or not providing
for your children as you wished, or not addressing your grandchildren as you
spoke of so frequently. The saddest
event to witness as an estate planner is "the shopping client", that is the
individual or couple who comes in for a consultation, and when shocked by the
fact that an estate tax liability exists, but can be eliminated, decides to
"think about it"; until it's too late and we have lost
one unified tax credit worth $345,800.
The estate planning attorney
provides the expertise required to ensure your assets pass according to your
expressed wishes and with a minimal, if any, cost to the heirs.
The financial consultant works with you, as well as the estate planner,
to ensure that information pertaining to assets and liabilities is correctly
documented. Also, the financial
planner must work with the estate planner to create the right receptacle for
your assets, and to be sure the assets are titled properly so they will pass to
the beneficiaries as intended. The estate planner, and financial planner, should
review, on an annual basis, changes in your financial "picture" as well as
changes you may have with respect to your intentions, as the same are impacted
by changes in the law or recent judicial decisions. It is also very important
for estate planners and financial planners to review at least annually your
personal changes as well as monitor health conditions, this is necessary to
soothe the transition during a difficult time, such as death or disability, for
the benefit of your spouse and family. Not only must you have the peace of mind
that you have the right comfort level with your estate and financial planners,
remember that upon death or disability this team should also fit well with your
family and fiduciaries, when you find this team you will have the peace of mind
you deserve-and your family will appreciate all you have accomplished for
yourself and them.
Dated: May 1, 2002
