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About three out of every four readers who call me ask a variation of this troublesome question, “What will estate planning do for me, my family and my business?”

The simple answer: The “right plan” will accomplish all your economic and tax goals, for as long as you live, legally avoid the impact of the estate tax when you die, and use the tax law to create tax-free wealth for your family (before and after your death). Actually, the right estate plan is a group of small plans that all dovetail together.

There are basically two types of plans: a lifetime plan that should start now (in the next two or three months), and a death plan/estate plan (really your will and trust documents) that usually sits in a drawer until you get hit by the final bus. By far the lifetime plan is the most important of the two. Let me say it loud and clear: Never, under any circumstances can your will and trust — no matter how fancy or how long — accomplish your lifetime goals. Even worse, standing alone, rarely can your will and trust accomplish your estate planning (death) goals. Remember, your death documents do absolutely nothing until after you have drawn your last breath.

Okay, so lifetime planning is the way to start. The typical business owner (let’s call him Joe) will have three lifetime plans: (1) a retirement plan, (2) a business succession plan (who will run the company when Joe slows down, because in practice Joe rarely totally retires) and (3) a business transfer plan (usually leaving the business to Joe’s business child or children) or a sell-the-business plan (to key employees or an outside buyer if there are no kids to take over the business). Can you imagine even one of these three plans being effectively handled in death documents? Of course, your lifetime plans must dovetail with your estate plan.

The various plans that we (as consultants) create are in response to the specific goals that you — the client/reader — list. To help you get started on the first task of creating the “right plans,” the balance of this article focuses on the 12 most common goals business-owner clients list in the real world. Each of these goals can be accomplished with ease by employing the appropriate strategy [most often used strategies given in parenthesis]. You’ll quickly recognize which goals are a part of a lifetime plan and which a death plan. As you read, circle the goals that match your goals.

1. Maintain your lifestyle for as long as you live [intentionally defective trust, S corporation, family limited partnership, nonqualified deferred compensation plan, retirement plan].

2. Control your wealth — including your business — for as long as you live (voting/nonvoting stock for business, family limited partnership for investment assets, typically real estate, stocks and bonds).

3. Maintain your spouse’s lifestyle for as long as she/he lives after you are gone (marital deduction, Q-tip trust, irrevocable life insurance trust, retirement plan rescue and the strategies shown in 1).

4. Pass all of your wealth — every dime of it to your family — instead of losing it to the IRS (as shown in the other 11 items in this list).

5. Transfer your business to the business children — tax-free (grantor retained annuity trust or intentionally defective trust; never a sale).

6. Treat children (really non-business children) fairly (family limited partnership, irrevocable life insurance trust and retirement plan rescue).

7. Triple (or more) the value of your qualified retirement plan — like a profit-sharing plan, 401(k) or IRA — funds (retirement plan rescue).

8. Educate your children/grandchildren with tax-free wealth creation (Private retirement plan).

9. Eliminate the capital gains tax (charitable remainder trust).

10. Attract key employees and keep your current key employees (nonqualified deferred compensation plan).

11. Establish a family foundation and make gifts to charity without reducing the value — most clients actually make a large tax-free profit — of your wealth to be inherited by your family (charitable lead trust and charitable remainder trust).

12. Use your existing wealth to create additional large amounts (for your heirs or charity) of tax-free wealth [a new strategy to purchase huge amounts ($5 million to no limit) of life insurance — second-to-die if you are married — called “premium financing.” A great strategy: Get big dollar death benefits with a tiny cash outlay.

The 12 goals listed above are actually a good roadmap to help you get started on your own lifetime plan and estate plan.

Want to learn more? Discover all the tax strategies and an organized system that works together to accomplish all of your family and business economic/tax goals. Continue your education by browsing my Web site: www.estatetaxsecrets.com. Yes, if you have a question it’s okay to call (239-417-9732).

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Irv Blackman is a certified public accountant who lives part-time on Marco Island and specializes in estate planning, business succession and asset protection. E-mail him at wealthy@blackmankallick.com or call 417-9732. His Web site is http://www.taxsecretsofthewealthy.com.