Estate Planning Checklist for High-Net-Worth Families (2026)

A phase-by-phase checklist for families with $2M–$30M+ net worth. Check off what's done, find the gaps, and follow the linked guides to understand each item in depth. Checks are saved in your browser.

Before any trust strategy, your family needs core documents that protect against incapacity and ensure assets reach the right people without probate delays or court involvement.

• Revocable living trust (funded). Created and re-titled with major assets — real property, brokerage accounts, business interests. Avoids probate, keeps estate private, enables successor trustee to act without court. An unfunded trust is one of the most common and costly estate planning mistakes.
• Pour-over will. Catches any assets not yet funded into the trust at death and routes them through the trust. Every RLT needs a corresponding pour-over will.
• Durable financial power of attorney. Authorizes your agent to manage finances, pay bills, and conduct business during incapacity. Without this, a court must appoint a conservator — expensive and slow.
• Healthcare power of attorney. Designates a healthcare proxy to make medical decisions when you cannot communicate them yourself.
• Advance healthcare directive (living will). Specifies your wishes about life-sustaining treatment, resuscitation, and end-of-life care in writing, independent of who holds healthcare POA.
• HIPAA authorization. Allows named individuals to receive protected health information about you from providers and insurers. Without this, even a spouse may be blocked from medical records in an emergency.

Beneficiary designations on retirement accounts, life insurance, and TOD accounts legally override your will and trust — they are among the most consequential, and most neglected, pieces of an HNW estate plan. Review them after every major life event: marriage, divorce, birth, adoption, death of a named beneficiary.

• IRA and Roth IRA beneficiaries — primary and contingent named and current. For large IRAs where multi-generation planning is the goal, consider naming a see-through trust as beneficiary (requires proper drafting to preserve stretch rules). See IRA estate planning guide.
• 401(k), 403(b), and employer plan beneficiaries. ERISA requires spousal consent to name a non-spouse primary beneficiary. Roth 401(k) accounts have no lifetime RMDs starting 2024 (SECURE 2.0 §325) — a material estate planning advantage. Verify designations are current at each employer plan.
• Life insurance beneficiaries — primary and contingent. If the policy is inside an ILIT, the trust is the beneficiary. If not, the death benefit is included in your taxable estate under IRC §2042. See ILIT guide.
• Transfer-on-death (TOD) and payable-on-death (POD) accounts. Brokerage and bank TOD/POD designations pass assets outside the will and trust entirely. Make sure they're consistent with your overall plan — a conflicting designation is a common cause of estate disputes.
• Per stirpes vs. per capita election. "Per stirpes" passes a deceased beneficiary's share to their descendants (usually correct). "Per capita" doesn't — the share lapses or goes to surviving primary beneficiaries. Confirm elections at every financial institution and insurance carrier.

Know your numbers before designing strategy. Federal estate tax at 40% applies above $15M per individual ($30M per married couple with portability). State estate tax is a separate, often larger, near-term exposure for many HNW families — and is not portable between spouses.

• Federal estate tax projection. Net worth vs. exemption, adjusted for expected asset growth. Use the estate tax exposure calculator. A married couple needs $30M+ before federal tax is the primary concern — but future growth inside the estate compounds the problem for families in the $15M–$30M range.
• State estate tax exposure. 12 states and DC tax estates at $1M–$7M — far below the federal $15M threshold. Oregon taxes above $1M at up to 16%; Massachusetts above $2M; New York above $7.2M (with a cliff that eliminates the exemption entirely if you exceed it by <5%). See the 2026 state estate tax guide.
• Portability election. If a spouse has died and no Form 706 was filed, the DSUE (Deceased Spousal Unused Exclusion) may still be claimable under Rev. Proc. 2022-32's 5-year simplified window.⁵ This can double the surviving spouse's effective exemption — potentially worth $15M in tax protection. See portability election guide.
• Step-up in basis analysis. Assets held until death receive a stepped-up basis to fair market value, eliminating embedded capital gains. Assets gifted during life use carryover basis — heirs owe tax on the full gain when they sell. The trade-off is material for appreciated real estate, business interests, and securities. Model it with the step-up basis calculator.

Irrevocable trusts move assets — and their future appreciation — outside the taxable estate. Even with a $15M federal exemption, families with $30M+ estates face 40% tax on the excess, and growth inside the estate compounds the problem every year. The right trust depends on estate size, liquidity needs, family structure, and investment mix.

• SLAT (Spousal Lifetime Access Trust). Best for married couples who want to move high-growth assets outside the estate while retaining indirect access through the beneficiary spouse. Dual-SLAT strategy (one trust per spouse, using $15M each) is available post-OBBBA but requires careful differentiation to avoid the reciprocal trust doctrine. See SLAT guide or SLAT vs. GRAT comparison.
• GRAT (Grantor Retained Annuity Trust). Best for appreciated assets expected to outperform the §7520 hurdle rate (5.00% in May 2026). A zeroed-out GRAT transfers all excess appreciation to heirs at near-zero gift-tax cost — ideal for pre-IPO equity, closely-held business interests, and rental real estate. Use the GRAT calculator.
• Dynasty trust. For families with $20M+ and multi-generational goals: shelters assets from estate and GST tax at each generation's death, indefinitely, in states with favorable trust laws (South Dakota, Nevada, Delaware, Alaska, Wyoming). See dynasty trust guide and GST tax guide.
• QPRT (Qualified Personal Residence Trust). Transfers a primary or vacation home to heirs at a discounted gift-tax value by retaining a term-of-years interest. The discount is larger when §7520 rates are high (5.00% in May 2026 increases the discount meaningfully vs. a 1% rate environment). See QPRT guide and calculator.
• ILIT (Irrevocable Life Insurance Trust). If you own large life insurance policies outside an ILIT, the death benefit is included in your gross estate under IRC §2042. An ILIT removes that inclusion. See ILIT guide.
• IDGT installment sale. For business owners: selling equity to a grantor trust (IDGT) at fair market value — often with a valuation discount — freezes estate tax exposure at today's value and moves all future appreciation outside the estate without gift tax. See trust strategies overview and business owner estate planning.
• QTIP trust. For blended families or situations where the first-to-die spouse wants to control the ultimate inheritance destination while still qualifying the assets for the marital deduction. See QTIP trust guide.

Annual exclusion gifts remove assets from the estate without touching the lifetime exemption. At scale — across multiple recipients over many years — the compounded estate reduction is substantial.

• Annual exclusion gifting calendar. $19,000 per donor per recipient in 2026 ($38,000 per married couple per recipient with gift-splitting).² A couple with 3 adult children and 6 grandchildren can gift $342,000/year without using any lifetime exemption. Use the annual gift calculator to project the 10-year estate impact.
• 529 superfunding. Up to 5 years of annual exclusion in one lump gift: $95,000 per beneficiary ($190,000 per married couple per beneficiary) with a prorated gift election. The ABLE Age Adjustment Act (January 2026) extended ABLE account eligibility to age 46 — a parallel option for qualifying family members with disabilities.
• Direct tuition and medical payments. Payments made directly to an educational institution or medical provider are excluded from gift tax entirely under IRC §2503(e) — unlimited, with no annual exclusion or lifetime exemption consumed. One of the most tax-efficient transfers available to HNW families with grandchildren in college or private school.

For HNW families with philanthropic intent, charitable vehicles can simultaneously remove assets from the taxable estate, generate income, and create meaningful legacy. These are financial planning tools, not just tax deductions.

• Donor-advised fund (DAF). Contribute appreciated securities to eliminate capital gains (combined 23.8% LTCG + NIIT rate), receive the full charitable deduction in the year of contribution, and distribute grants to charities over time. The most flexible charitable vehicle for most families. See DAF estate planning guide.
• CRT / CRUT. For a highly appreciated, low-basis asset you want to diversify without triggering capital gains. The CRT accepts the contribution, sells inside the trust (no immediate gain), and pays you an income stream for life. See CRT guide and calculator.
• CLAT. The structural inverse of a CRT: charity receives the annuity for a term, your heirs receive the remainder tax-free if trust returns exceed the §7520 hurdle rate (5.00% in May 2026). Best for assets expected to significantly outperform the hurdle. See CLAT guide and calculator.
• Qualified Charitable Distribution (QCD) from IRA. If you're 70½ or older with a traditional IRA, QCDs up to $111,000/year in 2026 go directly from the IRA to charity without flowing through income — satisfying RMDs while reducing adjusted gross income.² Name your IRA as DAF beneficiary at death to eliminate the double-tax (estate tax + income tax) trap. See IRA estate planning.

Retirement accounts require a separate estate planning lens. Unlike most assets, IRAs don't receive a step-up in basis at death — every dollar a heir withdraws is taxed as ordinary income. Combined with potential estate tax, this "double tax" can erode 50–70% of a large IRA's value.

• Roth conversion analysis. Converting traditional IRA assets to Roth during lower-income years removes the ordinary income burden from heirs, eliminates lifetime RMDs on the converted amount, and simplifies planning. The optimal target is the top of a comfortable tax bracket — coordinate with your CPA and estate planning advisor. See IRA estate planning guide.
• Inherited IRA rules for heirs. Under SECURE 2.0 and T.D. 10001 (finalized July 2024), most non-spouse beneficiaries must exhaust inherited IRAs within 10 years AND take annual RMDs if the original owner was past their required beginning date.⁴ This significantly increases heir tax exposure. Plan with your advisor so heirs understand the rules before they inherit.
• IRA beneficiary strategy. Naming a spouse as primary beneficiary provides the most flexibility (spousal rollover). Naming a charity or DAF as beneficiary at death eliminates income tax on the distribution — a tax-efficient way to make the charitable gift. Naming a see-through trust can provide controlled distributions for heirs who shouldn't receive a lump sum. See IRA estate planning guide.

For business owners, the company is often the largest and least-liquid asset in the estate. Succession planning should begin years before any anticipated exit or ownership transfer.

• Buy-sell agreement. Every co-owned business needs a buy-sell agreement establishing what happens when an owner dies, becomes disabled, or wants to sell. Cross-purchase vs. entity redemption structures have different estate and basis implications. See business owner estate planning.
• Valuation discount strategy. Interests in FLPs, family LLCs, and closely-held businesses may qualify for minority interest and lack-of-marketability discounts (15–35% combined) when gifted or transferred to trusts. IRS scrutiny is high — the bona fide sale exception under IRC §2703 requires genuine economic purpose. See FLP guide and valuation calculator.
• QSBS planning. Qualified Small Business Stock under IRC §1202 excludes up to $15M in gain (post-OBBBA) at 50%/75%/100% depending on 3/4/5-year hold. QSBS shares gifted to children or trusts generally preserve the exclusion. Plan before any exit. See business owner estate planning.

Common mistakes that cost HNW families millions

Even well-intentioned estate plans fail for predictable reasons. Reviewing these 10 estate planning mistakes is a useful complement to this checklist:

• Unfunded revocable trust. A trust that was never re-titled with assets avoids nothing. Real property, brokerage accounts, and business interests must be assigned or re-deeded to the trust. Check every account.
• Missed portability election. If a spouse has died without a Form 706 being filed, a $15M DSUE may be lost. Rev. Proc. 2022-32 provides a 5-year late filing window — act before it closes. See portability election guide.
• Stale beneficiary designations. Divorce does not automatically remove an ex-spouse as IRA beneficiary in most states. Review all designations after any marriage, divorce, birth, or beneficiary death.
• SLAT reciprocal trust doctrine. Dual SLATs funded simultaneously with identical terms can be unwound by the IRS as a disguised retained interest. Differentiate funding dates, trustees, and distribution terms. See SLAT guide.
• Ignoring state estate tax. A family optimized for the $15M federal exemption may still face material state estate tax. Oregon taxes estates above $1M at up to 16%; Massachusetts above $2M. See state estate tax guide.