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of the deceased person’s property, paying all legal debts, and eventually distributing the remaining assets and property.
e. While it’s not essential, this is a means of giving up to $13,000 away tax-free to each person you choose. It represents a way of shrinking a large estate to avoid significant estate taxes.
f. Created while you’re alive, this is an estate planning tool, often viewed as an alternative to a will, which lets you control the distribu- tion of your estate.
g. The amount of money that can be given to others free of federal estate tax.
h. A legal document that dictates how to distribute your property after your death. If you don’t have one, you die “intestate”, and the law of your state determines what happens to your estate and your minor children.
Estate Planning 9
Answers:1)b. 2)h. 3)e. 4)f. 5)c. 6)d.7)a. 8)g.