Financial and Business Succession Planning, J. Paul Wilson, CFP, Halifax, Nova Scotia, Canada
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Estate Planning Worksheet
Financial & Estate Planning
Estate planning can be very technical and it usually requires the co-ordination of a team of professionals. The most difficult part though for most people is deciding what they want to do with their wealth, what do they want their legacy to be. The estate planning piece of the financial planning puzzle is integrated with your lifestyle, retirement and investing. The integrating means that decisions in one area affect the others. So where do you start? Again go back to your lifestyle goals. Look at how you want to live the rest of your life, what it will cost and then follow a process to determine and clarify what you want to happen.
Here are some questions to help you: 
- Do you want to leave as large an estate as possible for your spouse, children or grandchildren?
- Do you want to provide for a child or adult who has a special physical or mental need?
- Do you want transfer your business to a family member?
- Do you want to contribute to your favourite charity?
- Is you will up to date? Have you specified how your assets are to be distributed?
- Do you know what the income amount will be for your spouse / family if you die first?
- Do you know what the income amount will be for you if your spouse dies first?
- Do you want to stay in your home? Do you want it to stay in the family?
- Do you want your cottage or some other asset to “stay in the family”?
- Do you know what the tax exposure is on your estate?
- Do you know how any taxes will be paid?
- Are you concerned if CCRA (Revenue Canada) is your largest single heir?
How important are tax strategies to you:
- Minimize taxes and be totally consistent with your overall plan?
- Minimize taxes and stay as consistent as possible to your overall plan?
- Minimize taxes at all costs?
How important is privacy to you?
- Many of your assets may have to go through probate and become part of public record.
Can you describe in a paragraph what you want to happen to your wealth when you die? Who gets what and how much?
Every planning situation is different.
Your financial planner can help you work through these six key steps:
1. Assess your current situation
2. Understand your goals for your family
3. Identify and prioritize your action plans
4. Select your best action plan
5. Document your decisions
6. Implement your plan
Here is a Worksheet to give you an overview of what your estate looks like:
1) My Business Assets |
$_____________ |
|
2) Other Assets subject to Capital Gain (Real Estate, Equities, etc.) |
$_____________ |
|
3) Registered Plans (RRSP, RRIF,RPP, DPSP) |
$_____________ |
|
4) Other Assets |
$_____________ |
|
5) MY TOTAL ASSETS |
$_____________ |
|
6) My Uninsured Liabilities |
$_____________ |
|
7) Recaptured Depreciation (CCA) x 50% Tax |
$_____________ |
|
8) My Capital Gains Tax Liability : |
$_____________ |
|
(a) Business Cost Base
|
$____________ |
|
9) My Capital Gains Tax Payable (Taxable Capital Gain x 50% Tax) |
$_____________ |
|
10) My Tax Payable In 5 Years |
$_____________ |
|
(a) Multiply 7(f) FMV TOTAL
|
$_____________
$_____________ $_____________ |
|
$_____________ |
||
ADDITIONAL LIABILITIES AT DEATH |
||
11) Registered Plans @ 50% Tax |
$_____________ |
|
12) My Estate Settlement Costs |
$_____________ |
|
(7% of Total Assets #4) |
||
13) My Liquidation Losses |
$_____________ |
|
Fire Sale Forced by:
|
||
MY SHRINKAGE |
||
6) My Uninsured Liabilities are |
$_____________ |
|
7) Recaptured Depreciation (CCA) |
$_____________ |
|
9) My Capital Gains Tax Payable |
$_____________ |
|
11) Registered Plans @ 50% Tax |
$_____________ |
|
10) My Estate Settlement Costs |
$_____________ |
|
13) My Liquidation Losses |
$_____________ |
|
$_____________ |
||
MY FAMILY'S TOTAL LOSS |
$_____________ |
|
Guide prepared by J. Paul Wilson, CFP, CLU, CH.F.C., TEP
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