"Traditionally, estate planning meant having life insurance, and writing a will to appoint an executor and distribute your assets and property to your beneficiaries.The modern estate plan ultimately arrives at the same conclusion—distribute your assets and property as smoothly and tax-effectively as possible to your beneficiaries—while respecting the rights of family members under family law. Certain strategies traditionally accessed by only the wealthy are available to more Canadians.

While a will is still the cornerstone of the estate plan, today’s estate plan also considers your own needs and any assets you might give away while you are alive. There are a number of ways to transfer assets on death, including but not limited to, using insurance, registering assets jointly with rights of survivorship, using trusts, making charitable gifts and naming beneficiaries on registered assets. The executor you appoint should have the time and knowledge needed to carry out their duties so that as much as possible ends up in the hands of your beneficiaries. Being asked to act as an executor for a friend or family member might have once been considered an honour that you were trusted; today it is a time-consuming job with the potential for personal liability.

The modern estate plan includes documents to protect your legal rights in the event you become mentally incapable of making your own decisions regarding financial matters or health care while you are alive. After the estate plan is thought through, it might look somewhat like a traditional estate plan—only it might include longer documents and perhaps more of them. Even if your personal and financial situation is complex, your estate plan should be as simple as possible and still do the job.

Your estate plan is part of your life and legacy, not just about planning for your death."

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SANDRA FOSTER is one of Canada’s leading experts on personal finance, tax, retirement, investments, and estate planning, and is the author of a number of bestsellers. She brings common-sense strategies to help Canadians get the most for their money. Her real-life life experiences working with Canadians and having been advised to “get her affairs in order” confirmed her belief that life comes before taxes and paperwork. Ms. Foster holds the Certified Financial Planner (CFP), Chartered Investment Manager (CIM), Trust and Estate Practitioner (TEP), and Fellow, Canadian Securities Institute (FCSI) designations.

“It’s financial negligence to overlook estate planning matters like wills and powers of attorney. This book will get you organized.”—Rob Carrick, personal finance columnist, The Globe and Mail

“…astonishingly good. It’s a fine reference book and an essential guide to those who have or will have wills to sign, estates to administer, or assets to pass on to future generations.” —Andrew Allentuck, columnist, The Financial Post