What do Elvis, Grouch Marx, the Grateful Dead’s Jerry Garcia and Chief Justice Warren Burger have in common?

The estates of each of these famous people were contested. This caused family discord and the public disclosure of personal and family information and the heirs lost millions of dollars of inheritance.

Let’s look at Elvis Presley’s situation. Public records tell a sad story. When he died in 1977, Presley left a $10 million estate. After paying about $3.8 million to debtors, the net estate came to $6.2 million. Nearly $2 million was eaten up by administrative, legal and executor fees, and more than $3.3 million went to estate taxes. His heirs received only $986,247 less than 10 percent of the total $10 million estate.

While the Presley family’s experience centered around millions of dollars, their experience provides a lesson for all families because creating an estate plan is no longer reserved for the super-wealthy or famous.

Everyone including people of moderate means want to maximize assets passed to heirs and to avoid excess taxes. To accomplish this, families and individuals need to be prepared for the unexpected. They, and they need to be able to answer the question: “What happens the day something happens to a loved one?”

Properly created and managed, an estate plan ensures that an individual’s values and financial assets are passed to future generations.

Often families take a narrow or fragmented view of planning, focusing solely on growing stock investments, or relying solely on a will or trust.

Effective estate planning creates a total wealth management picture that incorporates management of current assets (stocks, bonds and cash), and assets such as a primary residence, vacation home and business and commercial real estate. It The plan also should address tax, estate and philanthropic issues and determine the best approach to pass along family values and assets.

These are some of the benefits of developing an estate plan:

Estate Taxes; The most compelling reason for an estate plan is to detour around estate taxes.. Estate taxes Estate taxes start at 37 percent, increasing to 55 percent on estates over $3 million and 60 percent on estates over $10 million.

Probate Fees: Probate fees are mandated by state law. The state charges for its role in making decisions about how, to whom and when your estate will be divided and distributed. If you make these These decisions should be made in advance, there is no need to pay state government to do this work in your behalf.

Family Harmony: Estate planning is a clear, comprehensive road map for heirs that can prevent misunderstandings and keep everyone on on course. Without clear direction of how assets should be managed and divided, family relationships Families can disintegrate.

Management of Family Assets: It is common to think of individual or family assets solely as cash or stocks. However, family wealth may be tied up in special assets such as a business; residential, commercial or industrial real estate; ranch and farm activities, or oil and gas operations. Overseeing these complex assets can be too much overwhelming for an inexperienced heir; it requires managers with technical knowledge and experience. A plan can provide for this management expertise.

Privacy: Without a will or trust, family assets must go through probate a public process that is open season for sales professionals to call upon family members and beneficiaries during a difficult time. The effective use of wills and trusts can prevent confidential information from being made public.

Control: Who should step in and assume control of your affairs the day something happens? Without proper planning, it could be a court-appointed stranger. Most individuals would prefer a trusted advisor or loved one with integrity and knowledge to carry out their wishes. In addition, there is always the chance that because of illness or accident, you will require someone to handle your affairs while you still are living. A trusted person who understands the special needs of your family should be standing by.

How do you obtain these benefits for your family and your estate? Consult an estate planning professional. The day something unexpected happens, an estate plan can make a substantial difference in your life and the lives of your heirs.