Estate Planning Essentials for Retirees
For many retirees in Leawood and Kansas City, estate planning is one of the most important—and often overlooked—components of a comprehensive retirement strategy. A well-designed estate plan does more than distribute your assets after you’re gone; it protects your legacy, ensures your wishes are honored, and can even reduce taxes and stress for your loved ones.
Estate planning is not just for the wealthy. Whether you have a modest nest egg or a multi-generational estate, everyone can benefit from organizing their affairs. The core documents that form the foundation of most estate plans include a will, a durable power of attorney, a healthcare proxy (or living will), and in many cases, a trust.
A last will and testament outlines how your property and assets should be distributed upon your death. It also names guardians for minor children, if applicable. Even with a will, your estate could be subject to the probate process and state intestacy laws, which may not reflect your preferences.
A durable power of attorney authorizes someone you trust to handle financial matters on your behalf if you become incapacitated. Similarly, a healthcare proxy names an individual to make medical decisions for you if you’re unable to communicate your wishes. These documents ensure that your affairs are managed according to your preferences, even in challenging circumstances.
Trusts can be an effective tool for more complex estate planning goals. Revocable living trusts help avoid probate and can streamline the asset transfer process. Irrevocable trusts, while more permanent, offer protection from creditors and can help reduce estate taxes. Special needs trusts, charitable trusts, and other variations may be appropriate depending on your personal goals.
One of the key advantages of using a trust is privacy. Unlike a will, which becomes part of the public record during probate, a trust allows assets to pass to beneficiaries discreetly. For retirees in Leawood and Kansas City who value confidentiality, this can be an important consideration.
Another critical component of estate planning is beneficiary designations. Accounts like IRAs, 401(k)s, life insurance policies, and even bank accounts often pass directly to named beneficiaries and are not governed by your will or trust. It’s essential to regularly review and update these designations, especially after major life events like marriage, divorce, or the birth of a child.
Taxes are another important aspect of estate planning. While most estates fall below the federal estate tax exemption—$13.61 million per person in 2024—state-level laws may differ, and changes to tax policy can impact future plans. Strategic gifting, charitable donations, and trust planning can help minimize tax exposure and preserve more wealth for your heirs.
Legacy planning goes beyond asset distribution. It also encompasses your values, philanthropic goals, and family traditions. Some retirees choose to create ethical wills, family mission statements, or donor-advised funds to ensure their values live on through generations. Including loved ones in your estate planning discussions can foster transparency and reduce the risk of conflict.
At Prevail IWS, we help retirees in Leawood and Kansas City build estate plans that align with their financial goals, family needs, and personal values. We work alongside estate attorneys and tax professionals to provide coordinated strategies that simplify the process and bring clarity to your legacy.
Estate planning is not a one-time task—it’s an evolving process that should be reviewed and updated regularly. Changes in your finances, family structure, or the law can affect your plan. Periodic reviews ensure that your estate continues to reflect your wishes and protect your loved ones.
By taking the time to plan ahead, you can leave behind more than assets—you can leave a legacy of care, purpose, and thoughtful preparation. With the right guidance and structure, estate planning becomes a vital part of a secure and meaningful retirement.
