USAA.COM Estate Planning Basics June 28, 2011 Joseph “J.J.” Montanaro CERTIFIED FINANCIAL PLANNER ™

USAA.COM 2 Views and opinions expressed in this seminar are provided for informational purposes only and are subject to change. This discussion should not be considered a recommendation, tax, legal or other estate planning advice, but rather a general overview of the subject matter discussed. Consult with your tax, legal or estate planning professional regarding your own specific situation. Certified Financial Planner Board of Standards, Inc. owns the certification marks CFP ® and CERTIFIED FINANCIAL PLANNER ™ in the United States, which it awards to individuals who successfully complete CFP Board’s initial and ongoing certification requirements. USAA means United Services Automobile Association and its affiliates. Investments provided by USAA Investment Management Company and USAA Financial Advisors, Inc., both registered broker dealers. Life insurance and annuities offered by USAA Life Insurance Company, San Antonio, TX. Financial planning services and financial advice provided by USAA Financial Planning Services Insurance Agency (known as USAA Financial Insurance Agency in California), a registered investment advisor and insurance agency and its wholly owned subsidiary, USAA Financial Advisors, Inc., a registered broker dealer. Credit cards provided by USAA Savings Bank, other bank products by USAA Federal Savings Bank, both Member FDIC. Trust Services provided by USAA Federal Savings Bank.

USAA.COM 3 Agenda Estate Planning Essentials Legislative Update Protecting Your Assets

USAA.COM 4 Agenda Estate Planning Essentials Legislative Update Protecting Your Assets

USAA.COM 5 Having a Vision What Are You Trying to Accomplish? There are many things to consider. Do I have charitable intentions? Who are my heirs? What if I can’t make financial or medical decisions? Is a will or trust right for me? How and when will my assets be distributed?

USAA.COM 6 Estate Planning Essentials Key Documents Durable Power of Attorney Will Trusts Living Will Health Care Power of Attorney Letter of Instruction

USAA.COM Estate Planning Essentials Making decisions when you’re not able Durable Power of Attorney Medical Power of Attorney Living Will/Advanced Directive 7

USAA.COM Estate Planning Essentials Conveying your wishes at death Wills Trusts Revocable vs. irrevocable Living vs. testamentary Letter of instruction 8

USAA.COM 9 Points of Comparison Probate Privacy Time Expense Management Cost Will vs. Living Trust

USAA.COM 10 Estate Planning Essentials Other Estate Planning Considerations Account Registrations / Titling Payable on Death (POD) Transfer on Death (TOD) Joint Tenants with Rights of Survivorship (JTWROS) Beneficiary Designations Trustee: Corporate vs. Individual

USAA.COM 11 Agenda Estate Planning Essentials Legislative Update Protecting Your Assets

USAA.COM 12 Legislative Update The Estate Tax Federal Estate Tax “Exclusion” Amount The Federal Estate Tax: A Moving Target No Estate Tax Source: Forefield

USAA.COM Legislative Update Other Significant Changes Portability for spousal exclusion Lifetime gift limit to $5M 13

USAA.COM 14 Agenda Estate Planning Essentials Legislative Update Protecting Your Assets

USAA.COM 15 Protecting Your Wealth Life Disability Auto Home Umbrella Health Long-term Care Consider All of Your Needs

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