Leaving Your Family a Legacy

 

WEEKLY EDUCATIONAL UPDATE

 DECEMBER 20, 2019

 

 

A family legacy can have multiple aspects. It can include much more than heirlooms. It may also include guidance on what to do with the gifts that are given.

What are your “legacy” assets? Financially speaking, a legacy asset is something that may outlast you, something that might produce income or wealth for your descendants.

 

To help these financial legacy assets endure, an appropriate legal structure may be necessary. The goal is to have a structure that may permit reasonable management of the legacy assets – not just five years from now, but long into the future as well.

For example, imagine that 40 years from now you have 12 heirs to the company you’ve founded. Would you expect all 12 heirs to manage the company together?

 

Probably not. Some of those heirs may not be old enough to handle such responsibility. Others may be reluctant or ill-prepared to take on the role.

 

Values are also crucial legacy assets. Early on, you can communicate the importance of honesty, humility, responsibility, compassion, and self-discipline to your children and grandkids. These virtues can help young adults do the right things in life and guide their financial decisions. Your estate strategy can articulate and reinforce these values, and perhaps, link your children or grandchildren’s inheritance to the expression of these qualities.

Make sure to address the basics. Is your will up to date? How about the beneficiary designations on your retirement accounts? Creating a trust may be a smart move. But remember, a trust involves a complex set of tax rules and regulations. Before moving forward with a trust, consider working with a professional who is familiar with the rules and regulations.

 

Think about the legacy you are leaving. Your thoughtful actions and guidance could help your children and grandchildren enter adulthood with good values and a promising financial start.

Note: There will be no Weekly Educational Update next week, but we will be back on January 2 with another WEU. Have a happy holiday season!

 

 

 

Disclaimer:
The Tax Advisory Group, LLC and Financial Gravity Tax, Inc. offers tax-planning and preparation services.  The Tax Advisory Group, LLC and Financial Gravity Tax, Inc. are separate and unrelated companies.  Tax services offered are to help business owner and individuals create sound tax planning strategies that are custom suited to their needs and objectives.
Investments Made Easy, LLC, is an independent investment firm. Investments Made Easy, LLC. and Financial Gravity Wealth, Inc. are separate and unrelated companies.  All investment advisory services are offered through Financial Gravity Wealth, Inc. Financial Gravity Wealth, Inc. is a Registered Investment Adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities product, service, or investment strategy. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser, tax professional, or attorney before implementing any strategy or recommendation discussed herein.
Insurance Made Easy LLC is an independent insurance firm. Insurance services offered are to help business owners and individuals create insurance strategies using a variety of insurance products custom suited to their needs and objectives.
The Wealth Training Academy in association with our attorney groups can help assist with various legal matters – all under one roof. The Wealth Training Academy themselves are not attorneys.
The Wealth Training Academy is a Teaching, Coaching, Consulting & Training Facility designed to help business owner, as well as pre- and post-retirees, regain control of their business and personal wealth. WTA also rents the facility out to other organizations and the utilization of its materials.

 

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