Kim, $55$ and Tori, $49$ have come to you for estate planning advice. Kim has recently retired and is receiving $60\%$ of his salary, $$5568\mathrm{.}00$ gross, a month in retirement pay. Tori is self employed and earns approximately $$40,000\mathrm{.}00$ gross a year. Kim wants to know if he should get a post$-$retirement job or if they have enough income for him to engage in his hobby full time after working for $25$ years. Kim and Tori have two college age children. They recently cashed out some whole life insurance policies and that money will cover $100\%$ of their children's college expenses. Kim has a $$200,000$ term life insurance policy that will be in place for $10$ more years. Tori has a $$50,000$ whole life policy with $$9,000$ cash value. Kim and Tori own a house with a fair market value of $$315,000$ on which they still owe $$145,000.$ They have cash and investments of $$400,000$ and IRAs worth $$75,000$ and $$50,000.$ In retirement, Kim and Tori would like to be able to travel at least once a year and spend $$5000-$$$7500$ on each trip. They would also like their estate to cover their funeral expenses and leave something for their children.

For this portfolio project milestone create recommendations for estate planning for Kim and Tori. Assume Kim and Tori live in your state.

What estate documents do you recommend they have and why?

Explain the state policies and$/$or requirements that will affect their planning.

What are the tax implications for their estate should they die in $15$ years and how would you recommend they plan for them?

Make sure to include property and business transfer techniques.