Similar to Spousal Protection & Income Continuation, the last thing a surviving spouse (or child) should have to deal with at a time of great sorrow is the financial stress, feeling of responsibility, and ultimate financial cost of probate.
Put simply, the last thing you want to do when someone you love has died is deal with a bunch of attorneys.
In Indiana the average cost to settle an Estate is 4% of the total value of the estate. This cost – in time, energy and money expended – can be avoided completely with the right planning.
The strategic use of low-cost term life insurance, annuities, and proper trust creation can help you avoid probate in its entirety. Further, Section 7702 of the US Tax Code can actually offset the taxable portion of the estate – turning that previous cost of 4% into a net gain.