By Nancy Johnshoy, Chartered Financial Analyst | Senior Vice President – Portfolio Manager & Market Strategist, First Business Bank
Estate planning is one of the most important steps you can take to protect your family, preserve your wishes, and create clarity during what can be an emotional and difficult time. A thoughtful estate plan is not only about deciding who receives your assets after death. It is also about making sure the right people are empowered to act on your behalf if you become unable to make decisions during your lifetime. When properly structured and kept current, an estate plan can help reduce confusion, avoid unnecessary delays, and provide peace of mind for you and your loved ones.
One of the most important parts of any estate plan is reviewing your beneficiary designations. Retirement accounts, life insurance policies, annuities, and certain bank or investment accounts often pass directly to the named beneficiary, regardless of what your will says. That means an outdated beneficiary form can unintentionally direct assets to a former spouse, an individual who is no longer appropriate, or leave out someone you intended to include.
It is equally important to make sure your health care and financial powers of attorney are current. These documents allow trusted individuals to make medical or financial decisions for you if you are unable to do so yourself. Without them, your family may face delays, uncertainty, or even court involvement before someone can help manage your affairs. Reviewing these designations periodically is especially important after major life events such as marriage, divorce, the death of a loved one, a move to another state, or a change in family relationships.
For many families, estate planning today is less about avoiding federal estate taxes and more about making sure assets transfer efficiently and privately. In 2026, the federal estate tax exemption is $15 million per person, meaning many estates will not be subject to federal estate tax. As a result, a trust may not be necessary solely for estate tax avoidance. However, proper planning remains extremely important because it can help avoid the expensive, time-consuming, and often invasive process of a probate estate. Probate can require court filings, public disclosure of estate information, delays in distributing assets, and additional administrative costs for your heirs.
Proper asset titling is another key component of an effective estate plan. Even if you have a will, assets titled solely in your name may still need to go through probate unless they have a valid beneficiary designation, transfer-on-death designation, joint ownership with survivorship, or are titled in a trust. In Wisconsin, certain real estate interests may be transferred without probate through a properly recorded transfer-on-death designation, provided statutory requirements are met. Coordinating how assets are titled with the overall estate plan can help ensure property transfers efficiently and according to your wishes.
Charitable giving can also be incorporated into an estate plan in a tax-efficient way. Traditional retirement assets, such as IRAs and 401(k)s, can be excellent assets to leave to charity because individual beneficiaries generally pay ordinary income tax on taxable distributions they receive from inherited retirement accounts. This can make retirement accounts a particularly effective source for charitable bequests, while other assets that may receive more favorable tax treatment could be left to family members.
An estate plan should not be viewed as a one-time project. It should be reviewed regularly to reflect changes in your family, finances, tax laws, charitable goals, and personal wishes. Taking the time to confirm beneficiary designations, update health care and financial decision-makers, and ensure assets are titled properly can make a meaningful difference for the people and organizations you care about most. Working with your attorney, tax advisor, and financial advisor can help ensure your estate plan is coordinated, current, and aligned with your broader financial goals.
If you are interested in including the Appleton Education Foundation in your estate plans, we would be honored to discuss your wishes. Please contact us at 920-832-1517 or info@AppletonEducationFoundation.org. For more information, click here.
To explore examples of AEF’s work, visit the Stories of Grants & Giving page on our website: Stories of Grants & Giving – Appleton Education Foundation.
The Appleton Education Foundation is a 501(c)3 nonprofit organization. We raise and direct funds to strengthen and enhance education in the Appleton community, primarily in the Appleton Area School District. Thank you for supporting our belief that all students should have the opportunity to learn, grow, and thrive!
