Steps to Take in Planning an Estate
A Practical Guide to Protecting What Matters Most Estate planning isn’t just about what happens after you’re gone — it’s about protecting your family, your finances, and your future while you’re still here. Taking the right steps now ensures your wishes are honored, your loved ones are cared for, and your legacy is secure. Here’s a step-by-step guide to help you get started.
1️⃣ Take Inventory of Your Assets
Before you can plan, you need to know what you own.
Make a list of:
Real estate (homes, land, investment properties)
Bank accounts and investment portfolios
Retirement accounts (401(k), IRA, pensions)
Life insurance policies
Valuable personal property (vehicles, jewelry, art, collectibles)
Digital assets (emails, crypto, online accounts)
➡️ Tip: Keep this list updated and stored safely where your executor or family can find it.
2️⃣ Identify Your Beneficiaries
Decide who will inherit your assets. These may include:
Spouse or partner
Children or grandchildren
Relatives, friends, or charitable organizations
➡️ Review your beneficiary designations on life insurance and retirement accounts — these override what’s in your will.
3️⃣ Create or Update Your Will
A last will spells out how your assets should be distributed and who will care for your minor children.
Without a will, the state decides who inherits — and it may not match your wishes.
➡️ Pro Tip: Work with an attorney to ensure your will is valid under state law and coordinated with other planning tools.
4️⃣ Consider a Trust
A revocable living trust allows your assets to pass directly to beneficiaries without probate.
Trusts also:
Provide privacy (unlike public probate records)
Help manage assets during incapacity
Protect vulnerable beneficiaries, such as minors or those with special needs
➡️ For high-net-worth or elder clients, trusts can also minimize estate taxes or protect Medicaid eligibility.
5️⃣ Plan for Incapacity
Estate planning isn’t only about death — it’s also about protecting yourself if you become unable to manage your affairs.
Key documents include:
Durable Power of Attorney – lets someone handle your finances
Health Care Proxy / Medical Power of Attorney – authorizes medical decisions
Living Will / Advance Directive – outlines your end-of-life wishes
➡️ These tools prevent the need for court-appointed guardianship later.
6️⃣ Review Taxes and Insurance
Work with your advisor or attorney to:
Understand potential estate or inheritance taxes
Ensure adequate life insurance coverage
Plan for long-term care costs, which can quickly drain savings
➡️ A well-structured estate plan can minimize taxes and protect assets for your heirs.
7️⃣ Choose the Right Professionals
Estate planning is complex — and every family is different.
Your planning team may include:
Estate planning attorney (drafts legal documents)
Financial advisor (optimizes assets and investments)
Tax professional (reduces tax exposure)
➡️ Together, they help create a plan that fits your values, goals, and financial situation.
8️⃣ Review and Update Regularly
Life changes — and so should your plan.
Review your estate plan after major events such as:
Marriage, divorce, or birth of a child
Purchasing property or starting a business
A change in tax laws or health condition
➡️ Regular updates keep your plan effective and your loved ones protected.
Final Thoughts
Estate planning gives you peace of mind knowing that your loved ones are cared for and your wishes will be honored. Whether you’re just starting or updating an old plan, taking these steps today can prevent confusion and conflict tomorrow.