Estate planning involves distributing your assets after death to such people or causes according to your wish with minimum legal complications and the least tax incidence. You don’t have to be wealthy or old to be thinking about estate planning.

It’s good to plan your estate if you have assets and family that you want to take care of even after your death. And the best time to plan your estate is now when you are still alive and have the requisite mental health to make rational decisions. An estate plan made during an illness affecting contracting capacity can be challenged, complicating matters for beneficiaries. Death or illnesses do not make their time known, so you should do this while you are still capable.

First of all, take stock of your material possessions (estates) and know their value. This can refer to house and land; cars, boats, planes, and bikes; cash; savings or pension accounts; stocks, bonds and deposits; insurance; employee benefits; jewelry, furniture, and art; ownerships rights/shares in businesses; and claims from others. You should remember that the list also includes any debts or obligations you might have.

Next, you have determine and list your beneficiaries and their details. You should also decide who is to be the guardian in case the beneficiaries are minors at that time. Also, you must identify an executor of the estate. It’s a good idea to line up the pre- and post-nuptial agreements, divorce decrees, previous wills, deeds of property, and tax returns before you consult with a professional estate planner.

It’s always better to get a professional estate planner so you’ll know all possibilities to reduce tax incidence.

You should remember that estate planning isn’t a one-time event. You have to review it in case you change your marital status, death of beneficiaries, a birth of a child, or if there are changes in the law.