Estate planning is the process by which an individual or family arranges the transfer of assets in anticipation of death or being incapcitated. An estate plan aims to preserve the maximum amount of wealth possible for the intended beneficiaries and flexibility for the individual prior to death.
Here are a few benefits: 1) The ability to transfer wealth the way you want after your death. 2) A tax effective method of transfer so the government does not eat up 40% upon your demise. 3) Avoid unnecessary family disputes.
There are few types of estate planning: a will, trusts/power of attorney /insurance/partition/gifts/transfer of property etc. but the most commonly used type is the `will`.
`Making a will` and `estate planning` are not the same thing. A will is one of the types of estate planning, but there are other ways in which estate planning can be done- trusts/ gift /insurance/power of attorney /partition etc.
Estate planning is not only for rich people. It is meant for people who have some assets or money to bequeath on their death. If you do have a financial planner they are certainly well aware of all your asset/liabilities and mindset/requirements but they able to design it better with the help of a legal consultant.
There are various forms of estate planning. Which type you choose depends entirely on your situation One type may not suit all alike. You may also need to use multiple types of planning to have an effective estate plan. Having a plan in place is of course better sooner than later. In other words don't put it off. Then it may be too late.
Is there any step by step process that one should follow while making estate planning? The very first thing to do is to make a list of all assets and be clear on how they should be distributed. Then a financial advisor and/or legal consultant should be consulted to choose most suitable type/types of estate plan and set it up.
And it doesn't have to cost an arm and a leg. 
