David's Estate Planning Considerations

David is a 50-year-old software engineer who has been thinking seriously about his estate planning. He is married to Linda, and they have three children aged 10, 12, and 16. David has accumulated a net worth of approximately $2 million, primarily through his income from work and a few investment properties. Given his situation, David is considering how best to transfer his wealth to his children while minimizing taxes and ensuring that they are financially responsible as adults.

One option David is exploring is the establishment of a trust to manage the assets for his children until they reach a certain age. He is concerned about the potential tax implications of his estate upon his passing and wants to provide his children with some financial support without compromising their motivation to succeed on their own.

In this context, which of the following estate planning strategies would be MOST appropriate for David to consider?