At what point in time should we begin planning for federal estate taxes?

There is good reason to have basic federal estate tax planning in place at all times. While you may not have any federal estate tax liability currently, changes can occur rapidly by virtue of new tax legislation, unexpected influx of assets, or settlement of litigation as a result of your wrongful death or disability. The plain truth is that we all have a basic plan in place. It might be the simple will or trust that you had written which has little or no planning in it. If you have not done a plan, your state has its own laws that dictate how your estate will pass on your death. You can almost bet that the state's plan--or the simple plan you have in place now--will benefit Uncle Sam. And his plan is maximum tax.