What Will You Leave Behind?
By: David Smyth, August 13, 2014
Leaving legacy is something we talk a lot about here at Family Financial Partners. We view legacy planning to be a major component in any financial plan, and want to make sure all of our client-families take this part of their wealth management strategy into consideration.
But the truth is, not all families feel strongly about leaving a legacy. In fact, some of the families we work with don’t desire to leave any sort of financial legacy behind. There are several reasons families give for choosing not to leave something for loved ones after they’re gone, but here are the three most common explanations:
- “I earned it, I’ll spend it.” These folks feel that their hard-earned assets are theirs to enjoy. They’d prefer to leave behind very little or even nothing because the plan to spend everything during their retirement years.
- “There’s no one to leave a legacy for.” This explanation can be applicable for several different situations. Client-families who fall under this category may not have any children, or be closely associated with any sort of charitable organization.
- “Leaving a legacy isn’t possible for me.” Client-families who make this claim believe that they’ve waited until it’s too late to plan to leave a legacy. They desire to leave something behind, but feel that their financial situation limits them from reaching that goal.
I consider the first two explanations above to be legitimate reasons for bypassing legacy planning. These reasons explain why a family may not want to leave behind a financial gift, and your financial goals should be about what you want.
On the other hand, the third explanation is not based on what a couple wants, but what they feel is possible. Poor financial planning is not a valid reason for failing to leave a legacy behind. Why? Because we’re here to help.
Of course, like any other financial planning strategy, starting early makes legacy planning easier. But, don’t let the fact that you’re getting a late start stop you from enlisting our team. Even if it seems impossible, we can help you find a way to leave an impact for future generations. (After all, our tagline is “growing wealth, for generations.”)
So, where do you start? We usually begin a conversation about legacy with a discussion about your life insurance policy. Life insurance is the one asset that can create a legacy upon your death without requiring you to invest significant amounts of hard-earned dollars. We can help you figure out what type and how much coverage will provide your loved ones with peace of mind after you’re gone.
In addition to life insurance, we can help you examine your other hard or appreciated assets. Based on your preferences, we can look for ways to begin funding a legacy portfolio that you can pass on to the kids and grandkids, alma mater, church, or charity.
Don’t let a failure to plan in the past keep you from leaving the financial legacy you desire. Start planning with our team today, and be proud of what you’ll leave behind.