Estate Planning for Pre-retirees & Small Business Owners: Protecting Your Legacy
Did you know only 24% of Americans have a will, and just 15% of small business owners plan for their exit? Meanwhile, many spend endless hours optimizing their investment portfolios, yet overlook estate planning. Estate Planning is the true foundation for protecting family and business.
As a Certified Financial Planner® (CFP) based in Charlotte, I’ve seen firsthand how lack of planning turns even the best wealth strategies into a disaster. Estate planning isn’t only for the ultra-wealthy; it’s about providing a clear manual for your family and securing your business when life throws curveballs.
Why Estate Planning Matters
Imagine if the state decided how your assets and heirlooms were split. Would their choices align with your wishes? Without a plan, families can face confusion, costly delays, and relationships can suffer. For pre-retirees and business owners, good estate planning bundles peace of mind, tax efficiency, and legacy preservation.
Essential Estate Planning Documents
At minimum, ensure these four pillars are in place:
Will: Directs who inherits what based on your wishes, not the state.
Power of Attorney - Financial: Ensures your financial affairs are managed if you’re incapacitated.
Healthcare Power of Attorney & Living Will: Guides medical decisions on your behalf. Assigns a proxy to help make the difficult medical decisions when you can’t.
Trust (when applicable): Enables more control, creditor protection, and tailored inheritance when business, blended families, or substantial assets exist.
Review Beneficiary Designations: These override what’s in your will, especially on retirement accounts and life insurance.
Gifting Strategies (2025) & Tax Considerations
For 2025, you can gift up to $19,000 per individual per year per recipient ($38,000 per couple), shrinking your taxable estate while supporting your loved ones. Lifetime estate tax exemption sits near $14M per individual ($28M for couples). Smart gifting and use of trusts mean you see the benefit now, while reducing headaches for heirs later.
Business Estate Planning: More Than a Will
For owners, your business is likely the engine of your family’s wealth. Planning could include a:
Buy-sell Agreement: Dictates how your interest is transferred if you retire, pass away, or become disabled.
Valuation & Funding Plan: Ensures fair value and smooth transitions.
Life Insurance: Often funds buyouts or provides heirs with liquidity.
Family Limited Partnerships (FLP): Empower long-term control and tax-efficient gifting to future generations.
Don't silo your succession plan from your estate plan. Missed coordination here is one of the biggest (and costliest) errors I spot.
Key Insight:
I’ve witnessed more family tension due to absent planning and unclear intentions than from “not enough money.” Communicate your wishes. Consider a family meeting with your attorney and financial planner present and keep a detailed asset inventory. Avoid gifting highly appreciated taxable assets during your lifetime; let your heirs benefit from a step-up in cost basis. Learn more about this in my video!
Ready to Take Action?
Download my free Financial Plan Organizer. This is the same tool I use with clients to get organized and protect all you’ve built. Get the Organizer or schedule a call for help tailoring your legacy plan.
Use the button below to request your FREE Financial Plan Organizer!
FAQ about Estate Planning
How does estate planning affect my retirement strategy?
Proper estate planning ensures your assets and wishes are protected. It helps with minimizing risk, taxes, and stress for heirs, and integrating seamlessly with your retirement plan.
How much does an Estate Plan cost?
The question you should be asking is what is the cost of not having an estate plan? Family grief and tension. The state deciding where your assets should go. Potential high taxes on inheritance. Legacy destroyed. A few bucks now can save your family more than money later when you’re not around.
Should I update my will or trust before retiring?
Absolutely. Life changes, new assets, or business growth are all triggers to update key documents.
What risks do small business owners face if they neglect estate planning?
Their families may inherit businesses they can’t operate, face forced sales, or encounter disputes over business value and ownership.
What strategies help lower estate taxes for pre-retirees and business owners?
Annual gifting, strategic use of trusts, buy-sell agreements, and coordinated business succession planning are proven ways to reduce taxes and conflict.
Use the button below to request your FREE Financial Plan Organizer!
Questions or need help?
Our Fiduciary Mission:
At Integritas Financial, we specialize in helping small business owners navigate the complexities of their financial lives, providing fee-only financial planning services with a fiduciary responsibility. Our mission is to serve as your trusted partner, offering personalized guidance that aligns with your unique goals and the demands of running a business.
We work closely with business owners to address critical financial areas, including business exit strategies, tax planning, retirement planning, asset protection, estate planning, and coordinating with your team of professional advisors. Whether you’re preparing for a business sale, planning for succession, or balancing personal and professional financial priorities, we help you build a comprehensive strategy tailored to your needs.
At Integritas, your financial success is at the heart of everything we do. As a fiduciary firm, we are committed to acting in your best interests, providing transparent advice without the pressure of commissions or product sales. We believe in empowering you to make informed decisions by simplifying complex financial matters and delivering solutions designed to support your long-term prosperity.
Whether you’re in the early stages of growing your business or preparing for a major transition, Integritas Financial is here to help you manage the intersection of business and personal finance with confidence. Let us partner with you to create a roadmap for your success, so you can focus on what you do best—running your business.
Integritas Financial is lead by Ryan Kaysen, a certified financial planner™ based in Charlotte, NC.
The information contained herein is intended to be used for educational purposes only and is not exhaustive. Diversification and/or any strategy that may be discussed does not guarantee against investment losses but are intended to help manage risk and return. If applicable, historical discussions and/or opinions are not predictive of future events. The content is presented in good faith and has been drawn from sources believed to be reliable. The content is not intended to be legal, tax or financial advice. Please consult a legal, tax or financial professional for information specific to your individual situation.
This content not reviewed by FINRA