By John Napolitano CFP®, CPA, PFS, MST | Founder & Chairman
When we think of multi-generational planning, most minds shift to children and grandchildren as the inheritors. However, most of the problems in estate planning belong to the parents. When passing the financial baton, it’s the parents’ responsibility first and foremost to set their families up for success.
Even among wealthy families (or especially?), we find that most families have shoddy estate plans–if they have a formal one at all. Maybe you are set up, but your estate has since outgrown your plan. We meet too many new clients whose estates are set up to go through the expensive, time-consuming probate processes. There’s not much attention paid to how assets were left or how they were titled before passing.
This often turns into a complete disaster when the wealth transfer does occur. The way you prevent this is to get clarity around the question of ownership:
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- What do I own?
- Why do I own it? (What purpose does it serve?)
- How do I own it? (Trusts? Businesses? Personal?)
You’d be amazed how much financial clutter can be accumulated over your lifetime. You can’t begin to have any sort of organized estate plan until you can answer these three questions accurately.
Our goal is to help you avoid the scenario of passing on a financial ‘junk drawer’ to your kids and grandkids. By being proactive and addressing this critical area, you can help preserve your legacy and positive impact within your family.
