What are their current estate planning deficiencies? CHOOSE ALL That apply.

What are their current estate planning deficiencies? CHOOSE ALL That apply. Updated beneficiary designations for insurance and retirement plans Wills Revocable trust Titling of assets Living Will Durable Power of Attorney for Healthcare Springing Power of Attorney for Property Guardianship identification in a will Automobile Insurance PERSONAL AUTO POLICY DECLARATIONS PAGE COVERAGES Investment Information During Elaine's marriage to Jerry, an education fund was established for both Jerry Jr. and Christopher. Since Jerry died, Elaine has no longer contributed to this fund. At the present time, the fund balance is $22,747. The money was invested at 6%, and the Peytons have the option of renewing the short-term certificate of deposit (CD) in April at an interest rate of 4%. When Elaine received the life insurance proceeds of $250,000 from Jerry's death, she asked a broker to help her manage the money. Her broker, John, placed her funds 100 Penonal Financal Ploming Cases and Applications 12 th Edition" The compa: allowing profit-sharing contributions to the tette ThecompamentplanforA All contributions are made December 31 Gifts, Estates, Trusts, and Will Information They do not have any estate planning documents at this time. Incurance Information Health Insurance The entire family is covered under the ABC Company health insurance plan. The Peytons currently pay $200 per month for the employer-provided major medical plan. The deductible is $500 per person up to a maximum of three persons. The policy contains a stop-loss limit of $5,000 per year and an 80/20 coinsurance provision. Disability Insurance Archie has a personally owned disability insurance policy that covers accident and sickness and has an own occupation definition with a 180 -day elimination period The policy pays monthly benefits of 60% of current gross income until Archie reaches age 65 . 2. Archie and Elaine expect to need 80% of their current pretax income during retirement. They want to retire when Elaine will be 65 . Archic would be 62 at that time. They expect their joint retirement period to be 30 years. 3. Archie wants to review both his and Elaine's life insutance needs and have estate planning documents drafted for both of them. 4. They would like to minimize any death tax liability. 5. Archic and Elaine plan to travel extensively during retirement. 6. They want to be debt free by the time they retite. 7. They want to pay off their credit card debt in the upcoming yeat. Economic Information - Inflation has averaged 4% over the last 20 years. - Inflation is expected to be 3.5% for the foresecable future. Current Yields for Treasury Securities Current Mortgage Rates = 4.25% for 30 -year loans E 3.75% for 15 -year loans Closing costs of 3% will not be included in the refinancing of the existing mortgage- Economic Outlook - Investments and Finded Faming Case and Appications 12 th th Today is January 1,2022. Archic and Elaine Peyton have come to you, a fortentey planner, for help in developing a plan to accomplish their financial got he following information. Personal Background and Information Archie Peyton (Age 47) Archie is an executive in ABC Company, a closely held corporation. His oceste salary is $100,000, and he expects increases of 5% per year. Elaine Peyton (Age 50) Elaine is Archie's part-time administrative assistant. Her present salary is 524000 She expects raises of 5% per year. This is a second marriage for Elaine. Her first husband, Jerry, died five yean an Elaine was the beneficiary of Jerry $250,000 life insurance policy with which she cee ated her investment portfolio. The Peytons Archic and Elaine have been married for three years. They do not reside in a coe munity property state. The Children Elaine has two children from her first marriage, Jerry Jr., age 16, and Christophe. age 12. Archie and Elaine have one daughter, Kelsey, who is now 2 years old. All d the children live with them. The children are cared for during the day by their patumi grandmother who lives next door. When they were first married, Archie wanted to adopt Jerry Jr. and Christophe, but the children refused. Since then, Archie and the two boys have been in continut conflict. As a result, Elaine expects to use her investment portfolio to pay for the bor? education, without any assistance from Archie. Personal and Financial Objectives 1. The Peytons want to plan for their children's college education. They plan for each child to attend a private institution for five years beginning at age 18 with 1 cost of $25,000 a year per child (today's cost). The expected educational inflatio rate is 6%. Personal Fnandel Planning Cases and A over which he has full discretion. John's record tegers is as follows. in Elaine did not have the information from John. Elaine considers herself to be a conservative to moderate investor and has tith experience or education in investments. Archie believes that he is investor, and he has more experience with investments than Elaine. Income Tax Information The Peytons are in the 22% marginal tax bracket for federal income tax and 7% for state income tax. Retirement Information Both Elaine and Archie plan to retire when Elaine turns 65. They expect thes retirement portfolio to earn a 10% pretax average annual rate of return. They also expect their retirement period to last 30 years. Social Security retirement benefits for Archie are expected to be $26,000 annually at age 67 , while Elaine's Social Securioy benefit will be $9,600 annually at age 67 . Archie has not contributed to the traditional IRA in several years. ABC Company sponsors a profit-sharing plan with a Section 401(k) feature. The Section 401(k) component of the plan allows participants to defer up to 25% of salar. The plan also matches $0.50 for every dollar contributed, up to 6% of salary. Neither Archie nor Elaine has ever made deferrals to the plan, but both have vested balances in the plan, as follows. The plan allow. choice of various mutual funds. What are their current estate planning deficiencies? CHOOSE ALL That apply. Updated beneficiary designations for insurance and retirement plans Wills Revocable trust Titling of assets Living Will Durable Power of Attorney for Healthcare Springing Power of Attorney for Property Guardianship identification in a will Automobile Insurance PERSONAL AUTO POLICY DECLARATIONS PAGE COVERAGES Investment Information During Elaine's marriage to Jerry, an education fund was established for both Jerry Jr. and Christopher. Since Jerry died, Elaine has no longer contributed to this fund. At the present time, the fund balance is $22,747. The money was invested at 6%, and the Peytons have the option of renewing the short-term certificate of deposit (CD) in April at an interest rate of 4%. When Elaine received the life insurance proceeds of $250,000 from Jerry's death, she asked a broker to help her manage the money. Her broker, John, placed her funds 100 Penonal Financal Ploming Cases and Applications 12 th Edition" The compa: allowing profit-sharing contributions to the tette ThecompamentplanforA All contributions are made December 31 Gifts, Estates, Trusts, and Will Information They do not have any estate planning documents at this time. Incurance Information Health Insurance The entire family is covered under the ABC Company health insurance plan. The Peytons currently pay $200 per month for the employer-provided major medical plan. The deductible is $500 per person up to a maximum of three persons. The policy contains a stop-loss limit of $5,000 per year and an 80/20 coinsurance provision. Disability Insurance Archie has a personally owned disability insurance policy that covers accident and sickness and has an own occupation definition with a 180 -day elimination period The policy pays monthly benefits of 60% of current gross income until Archie reaches age 65 . 2. Archie and Elaine expect to need 80% of their current pretax income during retirement. They want to retire when Elaine will be 65 . Archic would be 62 at that time. They expect their joint retirement period to be 30 years. 3. Archie wants to review both his and Elaine's life insutance needs and have estate planning documents drafted for both of them. 4. They would like to minimize any death tax liability. 5. Archic and Elaine plan to travel extensively during retirement. 6. They want to be debt free by the time they retite. 7. They want to pay off their credit card debt in the upcoming yeat. Economic Information - Inflation has averaged 4% over the last 20 years. - Inflation is expected to be 3.5% for the foresecable future. Current Yields for Treasury Securities Current Mortgage Rates = 4.25% for 30 -year loans E 3.75% for 15 -year loans Closing costs of 3% will not be included in the refinancing of the existing mortgage- Economic Outlook - Investments and Finded Faming Case and Appications 12 th th Today is January 1,2022. Archic and Elaine Peyton have come to you, a fortentey planner, for help in developing a plan to accomplish their financial got he following information. Personal Background and Information Archie Peyton (Age 47) Archie is an executive in ABC Company, a closely held corporation. His oceste salary is $100,000, and he expects increases of 5% per year. Elaine Peyton (Age 50) Elaine is Archie's part-time administrative assistant. Her present salary is 524000 She expects raises of 5% per year. This is a second marriage for Elaine. Her first husband, Jerry, died five yean an Elaine was the beneficiary of Jerry $250,000 life insurance policy with which she cee ated her investment portfolio. The Peytons Archic and Elaine have been married for three years. They do not reside in a coe munity property state. The Children Elaine has two children from her first marriage, Jerry Jr., age 16, and Christophe. age 12. Archie and Elaine have one daughter, Kelsey, who is now 2 years old. All d the children live with them. The children are cared for during the day by their patumi grandmother who lives next door. When they were first married, Archie wanted to adopt Jerry Jr. and Christophe, but the children refused. Since then, Archie and the two boys have been in continut conflict. As a result, Elaine expects to use her investment portfolio to pay for the bor? education, without any assistance from Archie. Personal and Financial Objectives 1. The Peytons want to plan for their children's college education. They plan for each child to attend a private institution for five years beginning at age 18 with 1 cost of $25,000 a year per child (today's cost). The expected educational inflatio rate is 6%. Personal Fnandel Planning Cases and A over which he has full discretion. John's record tegers is as follows. in Elaine did not have the information from John. Elaine considers herself to be a conservative to moderate investor and has tith experience or education in investments. Archie believes that he is investor, and he has more experience with investments than Elaine. Income Tax Information The Peytons are in the 22% marginal tax bracket for federal income tax and 7% for state income tax. Retirement Information Both Elaine and Archie plan to retire when Elaine turns 65. They expect thes retirement portfolio to earn a 10% pretax average annual rate of return. They also expect their retirement period to last 30 years. Social Security retirement benefits for Archie are expected to be $26,000 annually at age 67 , while Elaine's Social Securioy benefit will be $9,600 annually at age 67 . Archie has not contributed to the traditional IRA in several years. ABC Company sponsors a profit-sharing plan with a Section 401(k) feature. The Section 401(k) component of the plan allows participants to defer up to 25% of salar. The plan also matches $0.50 for every dollar contributed, up to 6% of salary. Neither Archie nor Elaine has ever made deferrals to the plan, but both have vested balances in the plan, as follows. The plan allow. choice of various mutual funds