Estate planning is the preparing of legal documents to carry out your testamentary intent. Estate planning does not just take into account the high net worth individual who is primarily concerned about estate taxes, but rather planning for everyone’s testamentary intent. Testamentary intent is what you want to happen when you die. Notwithstanding, the general definition estate planning can include sophisticated gifting options to reduce one’s taxable estate and avoid or diminish federal and state estate taxes.
There is article after article discussing how the facebook IPO will be different than the Twitter IPO, but I came across an article this weekend from the Wall Street Journal that indirectly indicates how the situation may be similar when it comes to estate tax planning. What does the Twitter and Facebook IPO Have in Common? While Ms. Saunders doesn't make the connection she highlights, The [estate planning] moves could save Messrs. Dorsey, Williams and Costolo a total of at least $115 million, and perhaps far more, in federal estate tax at current rates, assuming a Twitter offering price of at least $28 [...]