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					W 12   WORKSHEET   Worksheet for Estimating Life Insurance Needs

                                                              Total Needs

              Step 1: Immediate Needs -
              Cleanup Funds
              Final Illness Costs (assumed equal to your
                 health insurance deductible)                     a.
              Estate Administration Costs (assumed equal to
                 4% of your assets)                           +   b.
              Burial Costs                                    +   c.
              Federal Estate Taxes (if any due)               +   d.
              State Estate Taxes                              +   e.
              Additional Lagal Fees                           +   f.
              Other Immediate Needs                           +   g.
              Total Immediate Needs (add lines a
                 through g)                                                      = h.       $0

              Step 2: Debt Elimination Funds
              Credit Card and Consumer/Installment Debt         i.
              Auto Debt Outstanding                           + j.
              Desired Mortgage Reduction                      + k.
              Other Debt to be Paid Off at Your Death         + l.
              Total Debt Elimination Funds (add lines I
                 through L)                                                      = m.       $0

              Step 3: Immediate Transitional Funds
              Schooling Expenses for Surviving Spouse           n.
              Child Care and Housekeeping Expenses            + o.
              Other Transitional Needs                        + p.
              Total Immediate Transitional Funds (add
                 lines n through p)                                              = q.       $0

              Step 4: Dependency Expenses (family needs while children are in
              school and dependent on family support)
              Current Household Expenses (estimated as
                 income less savings)                             r.
              Less: Deceased's Expenses (estimated as 30% of
                 line r if surviving family includes only one
                 member, 26% for a surviving family of two,
                 22% for a surviving family of three, and
                 dropping 2% more for each additional
                 family member)                               -   s.
              Less: Spousal Income                            -   t.
              Less: Social Security Survivors' Benefits       -   u.
              Less: Pension Benefits and Income               -   v.
              Equals: Income to be Replaced Until Children Are
                 Self-Supporting (line r - lines s through v) =   w.        $0
                                                                                    (continued)
W 26   WORKSHEET   Worksheet for Estimating Life Insurance Needs                  (continued)


              Total Dependency Expenses or Money in Today's
                 Dollars Needed for Dependency Expenses (assuming
                 the children have n years until they become self-
                 supporting and you can earn an i % after-tax and
                 after-inflation return on your investments) (line w x
                 PVIFA i%,n yr) = (line w x PVIFA __%, __yr) =
                 (line w x ____)                                                = x.

              Step 5: Spousal Life Income (spousal needs after children are self-
              supporting)
              Desired Spousal Income                              y.
              Total Spousal Life Income or Money in Today's Dollars to
                 Provide for Desired Spousal Income (assuming n years
                 until the children become self-supporting and m years
                 until the spouse qualifies for Social Security or retirement
                 income, and assuming you can earn i% after-tax and
                 after-inflation return on your investments)
                 [line y x (PVIFA i%, m yr - PVIFA i%, n yr)] =
                 [line y x (PVIFA __%, __yr - PVIFA __%, __yr)] =
                 [line y x (_____ - _____)]                                     = z.

              Step 6: Educational Expenses for Your children
              Total Educational Expenses (private school needs plus total
                 college needs)                                                   aa.

              Step 7: Retirement Income
              Additional Desired Annual Income at Retirement bb.
              Total Retirement Income or Money in Today's Dollars to
                 Provide for Desired Retirement Income (assuming
                 retirement in m years and desiring the additional income
                 for p additional years, and assuming you can earn i%
                 after-tax and after-inflation return on your investments)
                 [line bb x (PVIFA i%, m yr - PVIFA i%, n yr)] =
                 [line bb x (PVIFA __%, __yr - PVIFA __%, __yr)] =
                 [line bb x (____ - ____)]                                      = cc.

              Step 8: Total Funds Needed in Today's Dollars to Cover Needs
              Total       (lines h + m + q + x + z + aa + cc)                   = dd.           $0

              Step 9: Assets and Insurance Available to Cover Needs
              Cash from Current insurance Policies              ee.
              Retirement Savings and Investments                ff.
              Other Assets                                      gg.
              Total Assets (add lines ee + ff + gg)                             = hh.           $0

              Step 10: Additional Insurance Needs
              Additional insurance Needs (line dd - line hh)                      =             $0

				
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