Fact Situation: Client Age - Mid 60's. Husband and wife. Very Successful franchise owners. Typical planning, wills, trusts, life insurance trusts, qualified retirement plans, real estate investments, investment portfolio managers, large CPA firms for business and personal tax planning, family limited partnerships, etc. Total net worth - $200,000,000+. Estate taxes not fully funded, no incentive legacy trust planning, no charitable planning, no asset or lawsuit protection planning, current insurance funding done with after-tax dollars plus gift taxes, no endowments. In other words, typical "boiler plate" planning which did nothing to fulfill this couple's desire to leave a meaningful legacy instead of material wealth accomplishments. They had all that material wealth could provide, but felt that they needed to live and leave a life of significance instead of substance.




We were able to accomplish the following:

(1) Reduced income taxes and increased net after tax spendable income.

(2) Eliminated most estate taxes and discounted the balance.

(3) Created a business continuation plan that increased the heir's inheritance and left a huge endowment to a family foundation with zero taxation.

(4) Created a Family Foundation in perpetuity for family members.

(5) Asset protected their holdings.

(6) A added incentive provisions to the legacy trust planning for inheritances of the heirs .

(7) The entire planning process took less than 6 months and the first year's tax savings were twice the cost of the planning.

In addition, ongoing income and estate tax savings fully funded the zero estate tax planning, the endowment planning and the family foundation planning. In the final analysis, instead of having a 55% estate shrinkage, we were able to pass on 120% of the estate to the family, the charity and the family foundation. Again, integrated planning is unbeatable for the individuals who are serious about taking the time to learn and utilize these techniques.