Estate Planning should ideally be a proactive event as opposed to a reactive event. All too often, estate planning becomes trying to react and salvage some tax benefits, but by that time, many opportunities may no longer be available. If you plan ahead, you can take advantage of more benefits, and currently, the benefits to take advantage of are at an optimal level. The gift-tax exemption is high now, but it will likely go back to $1 million in 2013.
In addition to advance planning, once you have a will, it is important to update the will regularly, especially when any big life change occurs.
See Niles, Barton & Wilmer, LLP, Reacting is Not Planning!, JDSupra, May 23, 2012.
Special thanks to Jim Hillhouse (Professional Legal Marketing (PLM, Inc.)) for bringing this article to my attention.
