Broker Check

Developing a Thoughtful Estate Plan

"In looking at my finances, I know I’ll have a large estate tax bill that I don’t want to pass on to my kids. How can I take care of it now?”


  • An estate plan review
  • A net worth statement
  • A gift and note sale with a $10 million guaranteed life insurance policy
  • Ongoing communication with your CPA and estate planning attorneys
  • An annual gifting program through the U.S. Charitable Gift Trust
  • A long-term care policy with a death benefit, which allows you to plan for medical expenses and elderly care while taking advantage of future tax-free benefits
  • Trust Services

A single, 60-year-old woman1 came to us worried about her estate plan. In mapping out how her assets would transfer to her son upon her death, she realized that she would also be passing on a large estate tax bill – one that could be financially devastating to her family. We sat down with her and our in-house estate planning experts to conduct a comprehensive estate plan review. Our analysis determined that unless we acted quickly, our client would be passing on a multimillion-dollar estate tax bill to her son upon her death. Ultimately, we created a plan that incorporated several strategies to reduce that tax bill. Working in partnership with our client’s attorneys, we were able to form both a family limited partnership and a gift and note sale. We also set up a dynasty trust, which enabled us to reduce her tax liability by millions of dollars and allowed her to proactively plan for her family’s future. In addition, we worked with her to create an annual gifting schedule that enabled her to provide for her grandchildren, as well as deserving organizations across the country, while reducing her tax obligations.

1Hypothetical client based on potential situation.

2Baird does not provide tax or legal advice.