Leaving a lasting financial legacy is dependent on smart planning and the character of your heirs.
You have worked hard and made sound financial decisions.
You have not only built your own wealth but your community on a foundation of strong values.
Now, you have begun your estate planning, and you are torn.
You want to leave this wealth to your family, but you do not want to create entitlement.
Can this be done?
According a recent article in Forbes, titled “The Successful Entrepreneur's Guide to Leaving a Financial Legacy That Won't Spoil Your Kids,” this has been successfully done by the Rockefeller family, and you should use their planning as a guide.
You must create a trust.
Why a trust?
With a trust, you can protect your family wealth by providing specific guidelines for deciding when and how heirs may access the money.
By setting limits on the use of the money, your decedents can utilize the funds to help them achieve their own success.
In short, you are protecting the money for them.
Success involves more than just wealth.
It involves character.
So how do you pass along your values?
You can also use a trust to share knowledge, experience, and wisdom with your family through a Statement of Purpose.
You must take care when creating this trust ... because trusts can be written to divide, distribute, or destroy wealth.
To accomplish your desired goals, you will need the help of an experienced estate planning attorney.
With this steady hand who has been there and done that, you can empower your children to build their own legacy while protecting, preserving and perpetuating your own.
Remember: “An ounce of prevention is worth a pound of cure.” When making your financial, tax and estate plans, do not go it alone. Be sure to engage competent professional counsel.
For more information about estate planning in Overland Park, KS (and throughout the rest of Kansas and Missouri), visit our estate planning website and be sure to subscribe to our complimentary estate planning e-newsletter while you are there.
Reference: Forbes (June 27, 2016) “The Successful Entrepreneur's Guide to Leaving a Financial Legacy That Won't Spoil Your Kids”