Preparing for Estate Planning: Setting Objectives

Sample: Estate Planning Objectives for Mary and John Dough

Objective: Assure that we have perpetual health care

1) State of New Jersey health benefits are assured.

2) Medicare was applied for at age 65.

3) Long-term care insurance policies are in place for both.


Objective: Assure that we have adequate living expenses

1) Drawing on John’s annuitized TIAA-CREF pension.

2) Drawing on Mary’s annuitized Ourtown school system pension.

3) Holding on to all IRA accounts until needed or until distribution is mandatory.

4) Watching other investments as they continue to grow.


Objective: Make annual tax-free gifts to children and grandchildren for education purposes

1) Stockbroker and tax accountant recommend which assets to liquidate annually.

2) If sale of equities is not advised, CD’s and money market funds may be tapped.


Objective: Make at least one trip abroad and one visit to the children each year

1) Usually funded out of monthly pension payments.

2) If necessary, fund with same strategies as gifts to children.


Objective: Make contributions to Rutgers Foundation and Ourtown Community Fund

1) Charitable Remainder Trust has been set up with the Rutgers Foundation.

2) Checking account and passbook savings are adequate for Ourtown contribution.


Objective: Avoid unnecessary estate taxes

1) Need to talk to lawyer about setting up trusts and balancing assets equally.


Note: Where objectives have not been realized, a “Need to” notation should be made to indicate planned action(s).


This material was prepared by Todd Hunt, director of the Retired Faculty Association of Rutgers University.