Summary of Estate Planning Issues
Note: In its original format, this article was published in January, 1999 in the Rosemount Chamber of Commerce Communique.
Summary Of Estate Planning Issuescopyright 2002, The Law Offices of Anthony B. Ferraro, LLC The purpose of this article is to provide a brief overview concerning both tax and non-tax issues that should be considered in doing estate planning. I. What is Estate Planning? Estate planning is the process of arranging one’s affairs so that the transfer of assets at the time of incapacity, illness or death is accomplished in a most efficient manner. In achieving this efficiency, one has to try to control both tax and non-tax factors. Non-tax factors consist of unnecessary expenses such as guardianship proceedings and probate proceedings. Tax factors consist of matters such as federal gift tax issues and federal estate tax issues. The easiest approach to estate planning is to sit down with a qualified professional for an initial interview and discuss matters pertaining to your objectives and your assets. A typical estate plan for most clients will consist of the following:
- “Pour Over” type Will
- Revocable Living Trust
- Power of attorney Health Care
- Power of Attorney for Property.
- The present phase, where we are able to manage our own affairs.
- A phase in which we are alive but incapacitated due to illness, old age, or trauma.