Estate Planning

When a business owner dies without a well thought out estate plan, assets could be disposed in an improper manner, and that person’s estate will likely be subject to excessive death taxes. This result can have a devastating effect on surviving family members.

You should protect your family and business by conducting an estate planning “Fire Drill”. The fire drill is a quick and efficient method of identifying and correcting any significant problems, which might later create difficulties for your family.

If you are presently starting or are already engaging in long-term business and financial planning, you should complete the “Fire Drill” now to obtain some immediate protection.

Often the complexity of the succession issue hides the need to have a contingency estate plan. Therefore, The Estate Planning Fire Drill is a quick efficient process designed to answer the following questions.

How much will my family pay in estate taxes?

What assets will be used to pay the estate taxes?

How will my estate be divided?

Will this distribution be fair?

What will be the amount and sources of income for my surviving spouse?

    In order to complete the Fire Drill the business owner simply needs to provide the following:
  • Most recent asset inventory.
  • Copy of current will, trust and buy-sell agreement (If applicable).
  • Copy of most recent business financial statement.
  • Copy of most recent personal financial statement.
  • Copy of last year’s tax return.
  • Listing of any life insurance policies in force.

The Fire Drill offers several significant benefits to the business owner, one being a clear understanding of your existing estate plan. It also can quickly point out major problems that should be addressed immediately. The Fire Drill can buy you the time to design a formal succession plan that will result in a “thriving business and a thriving family.”

    ROAD MAP FOR ESTATE PLANNING:
  1. DEFINE YOUR GOALS
  2. CREATE AN ASSET INVENTORY
  3. REVIEW DOCUMENTATION
  4. PREPARE HYPOTHETICAL PROBATE
  5. CALCULATE LIQUIDITY NEEDS
  6. DETERMINE SOURCES OF INCOME
  7. EVALUATE CURRENT SITUATION VERSUS GOALS
  8. REVIEW GOALS TO DETERMINE IF REALISTIC
  9. DETERMINE ACTION NEEDED
  10. PREPARE IMPLEMENTATION SCHEDULE