Estate planning involves: Minimizing estate and transfer taxes Determining who will be heirs or beneficiaries of all estate assets Transferring maximum possible percentage of estate to heirs Providing financial security to dependents after your death All of the above Any property transferred at death by your will makes up your: Probate estate Gross estate Non-probate estate Taxable estate Net estate An asset which would pass outside your provisions of the will would be: A bank account held just in your name The life insurance proceeds on a policy in which you have made your "estate" the beneficiary Real estate held as a Tenant in Common Assets in your pension plan of which your spouse is the beneficiary The type of property ownership which applies only to husbands and wives jointly owning property and provides for automatic rights of survivorship is called: Tenants in Common Tenants by the Entirety Community property Joint Tenants With Rights of Survivorship The clause of a will that disposes of specific property is the: Disposal Provision Direction of Payments Provision Appointment Clause Execution Clause A(n) ___________ makes a change to an existing will: Last letter Amendment Codicil Right of Election The party to a trust who creates the trust is called the: Beneficiary The Trustee The Executor The Grantor A trust which is created during the grantor's lifetime and may be amended is called : A revocable living trust An irrevocable living trust An irrevocable testamentary trust A revocable testamentary trust A disadvantage of a Revocable Living Trust is: There is management continuity in the event of incapacity. There will be legal fees involved. Trust property is subject to probate. The Grantor must continue to make investment and management decisions. Federal Laws exempt certain gifts made during your lifetime from gift tax. These exemptions would include all of the following EXCEPT: Charitable contributions An annual gift of $50,000 per year to each of your children A gift of $1,000,000 to your spouse A gift of $20,000 given jointly with your wife to your son . A cost associated with the settlement of an estate would be: Probate fees Attorneys fees Federal Estate Tax Income tax Unpaid bills All of the above
