- Studies have shown that 70% of family wealth is lost by the end of the second generation and 90% by the end of the third.
- Help your loved ones avoid becoming one of these statistics. You need to educate and update your heirs about your wealth transfer goals and the plan you have put in place to achieve these goals.
What Must You Communicate to Future Generations to Facilitate Transfer of Your Wealth?
- Net worth statement, or at the very minimum a broad overview of your wealth
- Final wishes – burial or cremation, memorial services
- Estate planning documents that have been created and what purpose they serve:
- Who will be in charge if you become incapacitated or die – agent named in your Durable Power of Attorney and Health Care Directive; successor trustee of your Revocable Living Trust and other trusts you’ve created; personal representative named in your will
- Benefits of lifetime discretionary trusts created for your heirs
- Overall goals and intentions for inheritance – what the money is, and is not, to be used for (in other words, education vs. charitable work vs. vacations vs. Ferraris vs. business opportunities vs. retirement), and who will be trustee of lifetime discretionary trusts created for your heirs and why you’ve selected them
- Where important documents are located – this should include how to access your “digital” assets
- Who your key advisors are and how to contact them
How Can Your Professional Advisors Help You Communicate Your Wealth Transfer Goals?
- Your professional advisors are well-positioned to help you discover your wealth priorities, goals, and objectives and then communicate this information to your heirs. This, in turn, will prepare your heirs to receive your wealth instead of being left to figure it out on their own and, as statistics have shown, lose it all.
- We are available to assist you with figuring out your wealth transfer goals, putting a plan in place to achieve these goals, and effectively communicating this information to your loved ones.