Estate planning is a process involving the counsel of professional advisors who are familiar with your goals and concerns, your assets and how they are owned, and your family structure. It can involve the services of a variety of professionals, including your lawyer, accountant, financial planner, life insurance advisor, banker and broker. Estate planning covers the transfer of property at death as well as a variety of other personal matters and may or may not involve tax planning. The core document most often associated with this process is your will.

A will provides for the distribution of property owned by you at the time of your death in any manner you choose (subject to the forced heirship laws of some states that prevent disinheriting a spouse and, in some cases, children). Your will cannot, however, govern the disposition of properties that pass outside your probate estate (such as certain joint property, life insurance, retirement plans, and employee death benefits) unless they are payable to your estate.

Wills can be of various degrees of complexity and can be utilized to achieve a wide range of family and tax objectives. If a will provides for the outright distribution of assets, it is sometimes characterized as a simple will. If the will establishes one or more trusts, it is often called a testamentary trust will. Alternatively, the will may leave probate assets to a preexisting inter vivos trust (created in your lifetime), in which case it is called a pour over will. In either case, the purpose of the trust arrangement (as opposed to outright distribution) is to ensure continued property management and creditor protection for the surviving family members, to provide for charities, and to minimize taxes.

Aside from providing for the intended disposition of your property to spouse, children etc., there are a number of other important objectives that may be accomplished in your will.

• You may designate a guardian for your minor child or children if you have survived the other parent and, by judicious use of a trust and appointment of a trustee, eliminate the need for bonds and supervision by the court regarding the care of each minor child's estate.

• You may designate an executor of your estate in your will and eliminate the need for a bond; in some states the designation of an independent executor will eliminate the need for court supervision of the settlement of your estate.

• You may choose to acknowledge or otherwise provide for a child (e.g., stepchild, godchild, etc.) in whom you have an interest, an elderly parent, or other individuals.

If you are acting as custodian for the assets of a child or grandchild under the Uniform Gift (or Transfers) to Minors Act, you may designate your successor custodian and avoid the expense of a court appointment.

Good planning can also enhance your support of religious, educational, and other charitable causes.

A will does not avoid the probate process in California, and it does not govern the transfer of certain types of assets, called non probate property, which by operation of law or contract pass to someone else on your death. For example, real estate and other assets owned with rights of survivorship pass automatically to the surviving owner. Likewise, an IRA or insurance policy payable to a named beneficiary passes outside the will.

If you die intestate (without a will), your state's laws of descent and distribution will determine who receives your property by default. These laws vary from state to state, but typically the distribution would be to your spouse and children, or if none, to other family members. A state's plan often reflects the legislature's guess as to how most people would dispose of their estates and builds in protections for certain beneficiaries, particularly minor children. That plan may or may not reflect your actual wishes, and some of the built-in protections may not be necessary in a harmonious family setting. A will allows you to alter the state's default plan to suit your personal preferences.

When you name a beneficiary on an account, the account is distributed directly to that person or entity upon your death.  This is independent of your will or trust provisions. 

Beneficiary designations are typical with most types of accounts and policies including, but not limited to, pensions, IRA’s, donor advised funds, 401(k), 457(b) plans, 403(b) plans, and life insurance. 

If an account lacks a beneficiary designation it may trigger the need for a probate proceeding.  Thus, it is important to identify primary and contingent beneficiaries on all such accounts. Check with your financial institutions to confirm whether accounts include designated beneficiaries.

Property held in joining tenancy passes to the surviving joint tenant independent of and regardless of a will or trust.  If one joining tenant dies, their ownership automatically passes to the surviving joint tenant.  It does avoid probate. 

Tenancy-in-common is where two or more owners share ownership of property in equal or different percentages.  When one owner dies, his or her percentage of ownership will pass to his or her beneficiaries as indicated in his or her trust or will.  This form of ownership does not avoid probate at the death of a tenant-in-common. 

For married couples, community property with right of survivorship will automatically transfer the decedent’s interest to the surviving spouse.  It does avoid probate. 

Community property without right of survivorship may not automatically transfer the decedent's interest to the surviving spouse.  Depending on whether the owner created a will, the surviving spouse may not be entitled to the decedent’s interest in the property.

Individuals may not have specific family members or friends they wish to distribute their assets to upon their passing.  Additionally, you may wish to consider what should occur if none of the individuals you name as beneficiaries of your assets are living at your passing.  In these instances, naming a charity(ies) could be considered to support a cause championed during your lifetime.  

If you have a traditional IRA or other retirement type account, not a Roth IRA, remember that it remains subject to income tax to the recipient if the recipient is an individual but not if the recipient is a charitable organization.  Consequently, if you are considering making charitable bequests at your passing in addition to bequests to individuals, you may wish to name your intended charities as beneficiaries on your IRA and name the individuals as beneficiaries in your trust.

Your trust can make special provisions to determine who will care for your pets as well as compensation to the caregiver to cover expenses such as food and veterinary costs.  This may ensure your beloved receives continuing care for its lifetime. 

In some cases, a formal pet trust may be needed if a substantial sum is set aside for the pet for its lifetime.  A pet trust would include specific caretaking provisions or wishes such as particular services and recommended professionals to be utilized for the pet’s care. 

A Special Needs Trust (SNT) allows for a disabled person to maintain his or her eligibility for public assistance benefits, despite having assets that would otherwise make the person ineligible for those benefits (from CA-DHCS). 

This trust would be for the beneficiary’s lifetime, and then, upon the beneficiary’s death, the balance would be distributed to a charity or other individual(s). 

A first-party SNT is created and funded by the disabled person using their own assets, while a third-party SNT is created and funded by a family member or other third party for the benefit of the disabled individual.