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Estate Planning |
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 Estate planning is a subject that none of us like to talk about. Yet the reality is that if you don’t properly set up your estate based on your wishes, you can count on someone else doing it for you. For many people, this could result in your estate being handled completely differently than you would have handled it yourself. Wealth transfers for the children of World War II babies is escalating and is expected to continue to rise over the next decade. Unfortunately, most people aren’t prepared to financially understand how to handle this influx of wealth. In fact, you’ve probably spent more time planning your vacation this year, then you did planning your lifetime financial picture. So, here are some tips to help you get started. Organize Yourself If something happened to you or one of your parents, would you know where items such as personal belongings, investments, insurance policies (both home and life), retirement savings plans, property owned and any other financial documents are kept? If not, it’s time to organize your papers and advise your family members where everything is at. Make A Decision You next step is to look at your complete financial picture and decide where you want your assets to go upon your passing. For instance, you may not want everything to go to your spouse or children. There may have been a charity that you wanted to leave a gift to. Or, you may want to set up a college fund for your grandchildren. |
There are many factors to consider and since it’s your money, you’ve
earned the right to decide who gets what. Financial Advisor Some of you will be in the position of inheriting money from your family. If this happens, it’s sometimes difficult to know what to do with the inheritance. If you’ve discussed these issues with your family, then you can plan your investment strategy, rather than planning your strategy during your time of grief. Most people don’t think rationally when they’ve lost a loved one. That’s why it’s important to have a relationship with a reputable financial planner. Even if you’re only able to invest a little each month, find someone now that can help you plan your financial future. Legal Advisor It’s just as important to find good legal advice in estate planning. There are so many things that you can do now that will cause less legal problems for your family. Our legal system is so complicated that a good estate planning attorney is a must. There are so many laws and loopholes surrounding estate planning, that it’s important to evaluate the pros and cons of your estate so that you can make an informed decision. Tax Advisor Last, but not least, is your tax advisor. Tax laws change so rapidly, that it’s difficult for the professionals to keep up, let alone a consumer. Make sure you sit down with a tax advisor so that you or your family doesn’t end up paying more in taxes than absolutely necessary. |
