With the 264th UNC-Duke basketball showdown quickly approaching, this article channels the intensity of college basketball's greatest rivalry into something just as intense: estate planning. Much like the tension that fills Chapel Hill and Durham on game day, estate disputes can turn once-harmonious families into adversaries, leading to prolonged legal battles and unintended consequences. By applying strategic foresight, you can safeguard your legacy, minimize conflict, and ensure that your assets are distributed according to your wishes.
Have a Game Plan: Your Estate Planning Playbook.
If you think the animosity between UNC and Duke fans is bad, imagine the chaos that ensues when a family fights over an estate without a will or trust: siblings turn to rivals, in-laws start acting like Coach K when a foul is (correctly) called against Duke, and the entire family starts making the Cameron Crazies look like well-mannered dinner guests.
Dean Smith, Roy Williams, Hubert Davis, and even Coach K all knew that you don't win without a strategy. No team shows up to the Final Four without an ironclad game plan, and you definitely don't want to leave the distribution of your assets up to chance.
Here are three basic estate planning tools that your playbook may benefit from:
- Last Will and Testament. A will is your basic playbook. It's a legal instrument that outlines the distribution of your assets upon your death.
- Revocable Trust. A trust is your full-court press. It's a legal instrument created during the grantor's lifetime (the person establishing the trust) that allows assets to be managed and distributed according to specific terms. Unlike a will, which only takes effect after death and must go through probate, a revocable trust allows you to maintain control of your assets while you're alive and ensures a smoother, private transfer to your beneficiaries upon your passing. The trustee, often the grantor initially, manages the trust assets and distributes them according to the trust's instructions.
- General Power of Attorney & Health Care Power of Attorney. A power of attorney is your point guard who makes the decisions for you when you can't. A General Power of Attorney names an attorney-in-fact that you authorize to handle your business and financial affairs while you are living and competent or incapacitated. A Health Care Power of Attorney appoints a Health Care Agent that you authorize to make medical decisions for you when you cannot make such decisions for yourself, even if you are not terminally ill.
Without utilizing an estate planning playbook, your assets may be forced through probate—a court-supervised, lengthy, costly, and often frustrating legal process that rivals the slow pace of an NC State basketball rebuild (though I'll always be grateful for their Elite Eight win over Duke in 2024). Probate not only delays the distribution of assets to your beneficiaries, but it also subjects your estate to additional legal fees, administrative costs, and public examination. With thoughtful planning, you can sidestep the administrative entanglements of probate and give your heirs a clear path forward, unlike NC State, which still seems to be searching for one.
Avoid Transfer Portal Drama: Update Beneficiary Designations.
In college basketball, the looming transfer portal has reshaped rosters overnight. Players switching programs, unexpected departures, and last-minute changes leave coaches scrambling and fans with attachment issues.
Estate planning isn't much different. If you don't regularly update your beneficiary designations, you might unintentionally leave some of your valuable assets, such as retirement accounts, life insurance policies, investment accounts, or annuities, to the wrong people or entities.
Beneficiary designations override what's written in your will, meaning failing to update a beneficiary form could result in an ex-spouse, estranged relative, unintended heir, or a Duke fan receiving your wealth. Just as coaches constantly review their rosters to ensure they have the best players on the court, it is equally as important that you periodically review and update your beneficiary designations to reflect your current wishes.
NC State is Not Your Rival, and Taxes are the Real Enemy.
In my house, we're technically a "house divided." My husband is an NC State fan, while I proudly (and loudly) cheer for the Tar Heels. But, let's be honest, the NC State basketball team is more akin to the cousin who is upset that he got left out of grandma's will (sorry, Walt – at least you have last year's basketball season to hold over UNC and Duke fans). Like UNC basketball, it's important to focus on the real competition, which means your true adversary isn't lurking in Raleigh, it's taxes.
Without proper planning, your estate could be hit with estate taxes and capital gains taxes, both of which can take a significant portion out of what you intend to leave behind.
- Estate Taxes: The federal estate tax applies to estates exceeding $13.99 million (or $27.98 million for married couples) in 2025. Without proper planning, your heirs could face a substantial tax bill of up to forty percent (40%). While the federal estate tax may not impact everyone now, proper planning is still essential, as the exemption is set to decrease significantly in 2026.
- Capital Gains Taxes: Depending on how certain assets are transferred, your heirs may be subject to capital gains tax in the future. The strategic use of trusts, gifting strategies, and the "step-up" in basis rules can help reduce the tax burden for beneficiaries. Proper planning ensures that assets pass in the most tax-efficient manner, preserving more wealth for future generations.
The best way to keep your wealth where it belongs is through smart estate planning strategies, such as utilizing lifetime gifting strategies to reduce taxable assets at your death, establishing trusts to minimize tax exposure, and/or using charitable donations. While a bad basketball season may result in temporary embarrassment, bad tax planning can leave a lasting impact for generations to come.
The Estate Tax Sunset: Preparing for an In-Game Adjustment.
Much like the shifting tides of the UNC-Duke rivalry, the estate tax landscape may change significantly. Right now, the estate tax exemption allows individuals to pass $13.99 million (or $27.98 million for married couples) tax-free at their death. But, just as Duke fans love to claim superiority after a single good season, this advantage won't last forever.
At the end of 2025, the exemption is set to be cut in half, meaning substantially more estates could face federal estate taxes of up to forty percent (40%). We won't know for certain whether the current estate tax exemption will sunset as scheduled or be extended until Congress acts.
Proactive estate planning now can help preserve wealth and avoid a devastating tax hit. Failing to prepare isn't just a loss. It's the kind of mistake that can haunt you for years, much like Duke fans still trying to recover from UNC's win at Cameron Indoor Stadium in Coach K's final home game.
Avoiding Overtime: A Game Plan for Business Succession.
For business owners, succession planning is often one of the most overlooked, yet critical aspects of estate planning. Without a strategic succession plan, a family business may find itself in a double overtime game with no clear winner, which often leads to its decline or forced liquidation. By proactively addressing ownership transitions, business owners can safeguard their legacy, avoid disputes and operational instability, and set the next generation up for success.
Work with a Professional Team.
In basketball, every team member matters. Whether it's the head coach crafting the game plan, the point guard leading the offense, the manager handling logistics, or the water boy ensuring the team stays hydrated, it takes a team working together to win.
Estate planning is no different. To create a winning strategy, you need a team of professionals, which may include your estate planning attorney, a CPA, and a financial advisor, each playing a crucial role in securing your legacy. Just like UNC couldn't rely on Joel Berry alone to win the NCAA National Championship in 2017, you shouldn't tackle your estate plan without the right professionals guiding you. A coordinated team approach is the key to avoiding costly mistakes, protecting your assets, and ensuring a smooth transition for future generations.
Legacy Over One Season.
Estate planning isn't just about money. It's about safeguarding your legacy, protecting your loved ones, avoiding unnecessary conflict, and making sure Duke doesn't win (okay, that last one isn't directly related, but it's still important).
The best teams don't wait until the final seconds to make a play, and the same holds true for estate planning. Procrastination can leave your loved ones scrambling, dealing with uncertainty, legal battles, and unintended consequences. A well-structured estate plan provides clarity, ensuring that your wishes are honored, and your family is spared unnecessary hardship. Just as a championship team relies on preparation, adaptability, and strong leadership, a well-crafted estate plan requires careful thought, legal strategy, and the guidance of trusted professionals.
Speaking of legacy, let's not get too caught up in this season's struggles. UNC basketball might be having a down year, but estate planning is about the long game. Despite any present challenges, the Tar Heels still hold the lead in the all-time series at 145-118. The beauty of a well-established legacy lies in its foundation. It's not defined by one mediocre season, but by the careful, strategic planning that secures long-term success.
Final Buzzer.
It's never too early to craft an NCAA championship-worthy estate plan. The game clock is always ticking, and in estate planning, just like basketball, the best defense is a strong offense. A well-prepared strategy ensures you stay in control, avoid costly turnovers, and secure a victory for your legacy.
Start planning now, because the best teams, and the best estates, are built long before the final buzzer sounds.
Go Heels!
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
