Chapter 1: Introduction to Estate Planning Estate planning = broadly defined as the process of accumulation management, conservation, and transfer of wealth considering legal tax, and personal objectives Effective transfer = occurs when a person’s asset are transferred to the person or institution intended by that person Efficient transfer = occurs when transfer costs are minimized consistent with the greatest assurance of effectiveness Estate planning goals and objectives: – – – – – – Fulfill client’s property transfer wishes Minimize transfer taxes Minimize transfer costs Maximize net assets to heirs Provide needed liquidity at death Fulfill client’s healthcare decisions Transfer costs = the cost of avoiding taxes – – – Document preparation Planning Professional fees and taxes Risks in failing to plan an estate: – – – – – Client’s property transfer wishes go unfulfilled Transfer taxes are excessive Transfer costs are excessive Client’s family not properly provided for...