Your client, age 74, has an estate consisting of solely owned assets valued at $4,500,000. His will, drafted in 2012, leaves his entire estate to his wife. No contingent beneficiary is named, and the will has no residuary clause. He would like his children to receive a tract of land worth $1,000,000 that is located in an out-of-state resort area. Your client has made $300,000 in adjusted taxable gifts to date.

Which of the following are estate planning pitfalls that can be avoided if your client takes the actions described?

I. He can avoid subjecting the estate to an ancillary probate procedure by placing the out-of-state property in joint tenancy with right of survivorship with his children.

II. He can avoid subjecting the estate to probate by amending his will to place all of his assets in an irrevocable bypass trust.

III. He can avoid causing part of the estate to pass to unintended beneficiaries by amending his will to name contingent beneficiaries and adding a residuary clause.

IV. He can avoid having to pay estate tax out of pocket by making a charitable bequest in his will.