Estate Planning is something that most of us would prefer to avoid. It's very difficult to imagine leaving your loved ones behind, but it's worse to imagine leaving them unprotected. Young or old, wealthy or middle class, an Estate Plan is essential. Our Investment Services Team understand the hesitations involved in putting a plan into place. We're here to guide you through this vital process and leave you with a plan you can feel good about.
What is Estate Planning?
People take part in estate planning because they want to control who will receive their assets and they want this to happen with the least amount going to legal fees and taxes. Estate planning is much more than just a will. It provides information and strategies to:
- Protect and support beneficiaries
- Make critical, personal decisions
- Control estate costs
- Understand and reduce taxes
- Fairly distribute assets
If you die without a will in Canada, the estate is automatically distributed according to the laws of the Province you live in rather than the needs of your survivors. Provincial legislation applies a set formula to divide the estate among your spouse, children, and relatives and the results could be very different from what you really want. Guardians appointed by the courts for children might not be the ones you would have chosen.
Estate Planning Goals
As part of the Estate Planning process, we will help you determine what you'd like to accomplish with your plan. We will look at things like:
- Determining who will be the heirs or beneficiaries of your estate, and how much each will receive.
- Deciding who will settle the estate (the executor) and administer the property within the estate.
- Providing adequate financial security to your dependents after your death.
- Providing enough liquid assets for your estate to meet its obligations.
Planning for the transfer/disposition of a closely-held business (if applicable). - Transferring the maximum possible percentage of your assets.
- Planning and controlling the desired distribution of assets, both during lifetime and at death.
- Minimizing taxes and estate settlement costs.
Estate Planning Process
Once we've determined the goals you'd like to accomplish with your Estate Plan, it's then a matter of developing an action plan to achieve them. We will work with you to:
- Gather data concerning assets, family needs, and desires
- Identify special needs, concerns, or problem areas
- Identify and calculate estate transfer costs
- Formulate your plan
- Implement your plan
How prepared are you? Do you know:
- If you currently have a will, is it a legal, valid document?
- The value of your total estate?
- Exactly how the title to your house is registered?
- If there is a beneficiary named on your life insurance, pensions & RRSP's and if so, who that beneficiary is?
- If your estate has sufficient liquidity to meet fees and expenses as well as any income taxes payable by your estate without having to sell the assets?
- If the executor named in your will is willing and able to accept that appointment?
Wealth Management
