What Is An Estate Plan?

You’ve probably heard the term ‘estate plan’ and know it’s something you should get around to at some point, but do you really know what it is?

We’re here to shed light on that today. In simple terms, an estate plan protects your assets in the event of your death. It’s a plan to make sure you don’t have to pay more than you have to in taxes, and that the transfer of your assets flow smoothly. You’ve worked hard to build your legacy over your lifetime and you want to make sure it’s being handled in the way you want, even when you’re no longer here to oversee it.

 Without an estate plan a significant portion of your wealth could (and likely would) be lost to taxes. Most people would consider that an issue. You don’t want your wealth going to the government; you want it going to your family members and perhaps some of your most beloved friends. The presence of an estate plan can also impact your current business operations, as businesses with an uncertain future tend to suffer from high turnover rates and lose key staff. Neither of these consequences are ideal. 

 Estate plans vary greatly depending on the individual and their circumstances. The more wealth and assets you have, the more detailed you’ll need to be when it comes to your plan. You’ll need to take into account who you want your beneficiaries to be, including children, stepchildren, and grandkids, etc. An estate plan can be anything from a general strategy and a checklist to a detailed plan that outlines what to do with different assets and entities in your name. It also helps to start early, as part of your tax strategy may require you to move assets around well in advance.

Depending on your needs, the planning process can range from one meeting that lasts a couple hours to a longer, ongoing process. The latter will usually be required for a more complex tax strategy. 

 Again, there's a reason it's confusing. Estate planning can mean a lot of things. Most businesses don't have an estate plan and most people don't have adequate estate plans. It's a massive need in the market. And there are a variety of people who can help you with this - you might need an accountant like us, and/or you might need a lawyer to do some legal work. Frankly, you might just need to have a conversation with someone you can trust.

An estate plan allows your family to benefit from all the wealth you’ve accumulated and carry on the legacy of your business if they choose; it allows you to protect your assets from taxes. At Greg Evans Professional Corporation, we believe your wealth should be passed down to the people you care about, and we can ensure that happens with a clearly defined estate plan. 

 At GEPC we have a Trust & Estate Practitioner (owner Greg Evans) who can help you through the process. It all starts with a conversation. Book a free consultation to get started.