Choose wisely. There is only one correct answer to each question.
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1.
Minimizing taxes is the predominant concern of most people in designing an estate plan.
False. Estate taxes are only an issue for those with estates worth more than a certain amount. Even for these folks, there are numerous other, more important family concerns and objectives to plan for.
2.
Under the laws of most states, the estate of a married person who dies without a will and has no children goes entirely to his or her spouse.
False. Only about half the estate generally is transferred to the surviving spouse under state law in this situation.
3.
One advantage of the transfer on death (TOD) account is simplicity.
True. A TOD account requires minimal effort to create, and transfer of the account funds should occur promptly after the institution receives proof of death.
4.
Which would be the best device for distributing assets after death when certain conditions must be met?
Trust. A trust document can be drafted to set forth a personalized combination of specific instructions, with or without discretionary judgments allowed to your trustee, so that money is given to whom you want, when, and for the purposes you specify.
5.
Which of the following is a drawback to strictly "do-it-yourself" estate planning?
Self-help resources dont always deal with details, contingencies and specific issues that are important in your situation. Every family is different, and while self-help resources are valuable, by design they must deal in generalities.