Legal documents form a foundation
Typically, the foundation for preserving wealth is a properly executed will and perhaps a revocable trust. These designate how and to whom your property will be distributed after death. If you don't have a will and/or a revocable trust, you could be giving up your right to distribute your property as you wish and handing it over to your state to handle. Your tax and legal advisors will be able to determine if these tools are right for you.
A "trust" is a legal agreement you (the grantor) set up to facilitate the transfer of property to a manager (a trustee) for the benefit of your heirs (beneficiaries). A living trust is created while you're alive. A testamentary trust is created after death. If a revocable trust is used, it becomes the primary distribution document for your estate in place of a will, though a short pour-over will is used with a revocable trust to capture any remaining assets at death that have not previously been transferred to the trust.
Assets owned jointly with rights of survivorship or that have beneficiary designations, such as life insurance, annuities, or retirement accounts, are not controlled by your will. However, they are included in your taxable estate. These assets must be properly coordinated with your will and/or revocable trust arrangements.
While do-it-yourself and Internet wills are popular these days, you should keep in mind that estate, probate, and tax laws are complicated. A few misplaced or omitted words in your will or not executing it properly can make a will null and void. You should consult with your attorney and tax advisor when designing your will.
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