Estate tax is calculated on the taxable estate which is the gross estate less deductions and exclusions. There is a marital deduction which allows an unlimited deduction for property passing from the decedent to the surviving spouse. There is also a charitable deduction which can benefit the athlete in his estate plan by providing a deduction from estate taxes. Like property that passes to a spouse, property that passes to a qualified charity is also deductible from the gross estate. There is also a generation skipping tax which is a separate tax designed to prevent avoiding estate or gift taxes which would have been applicable if the property in question had first been given to the intervening generation and then transferred to the grandchildren.
Life insurance is yet another aspect of many financial plans.
Because of their age and robust physical condition life insurance is readily obtainable at a reasonable price by professional athletes. Insurance proceeds can be important to his family if the athlete does die young.