What are you really leaving to your kids?

Taxes should not be the primary reason for wealth planning.

Your family deserves a proper plan based on long-term objectives and some visibility forward. If your primary focus is to optimize taxes, you are likely leaving a serious headache for you kids. Wealth planning is about HOW heirs inherit, not just WHAT they inherit.

Lets break this down into the three forms of planning:

  1. Estate planning represents the legal vehicle;
  2. Financial planning allows you to avoid taxes when money is passed on;
  3. Heir planning is about preparing your heirs to receive their inheritance

From the Pritzkers to Paris Hilton, unprepared heirs often act irresponsibly with the fortunes they inherit. Who are these rich kids and how were they brought into the family fortune? It is quite clear that poor transition not only leads to the loss of the estate for which at least one generation fought so hard, it also leaves future generations in the shambles – without the tools to come back to normalcy. It’s a big risk – not less so than the loss of the fortune. Are you grooming leaders that will perpetuate what you have built, or simply providing for trust-fund babies?