WATCH ESTATE PLAN

Solution:

The new laws on estate taxesmean you should take a new look athow your assets will be divided upwhen you die. The most commonerror is a will or estate plan thatspecifies that your children get anamount equal to the estate taxexemption limit, while the balance ofthe estate goes to the survivingspouse. Such an arrangement couldput your spouse in tight financialstraits, because your children will geta bigger share as the exemption limitgrows (from $1 million this year to$3.5 million in 2009). Your spousecould be left without enough cash tosustain them, or even with nothing.Plug in dollar figures foryour children, making sure there'senough left over for your spouse.