In the next 30 years, approximately $40 trillion will pass from the baby boomers to Gen X'ers and millennials. Given this sizable transfer of wealth, we as lawyers must be equipped to counsel not only our existing clients, but also our clients’ children, grandchildren, and even parents. This is where multi-generational estate planning comes into play.
Identifying estate planning and wealth transfer planning opportunities goes beyond the basics and into clients’ long-term goals with regard to their families.
It helps to create a multifaceted plan that considers:
* Estate planning, including wealth transfer and legacy concerns
* Tax planning
* Charitable goals
* Retirement plan success
* General financial planning (e.g., analysis of the family’s assets, net worth, sources and types of income)
* Business succession planning
As estate planning lawyers doing multi-generational planning, we frequently need to go beyond the basic Wills and other estate planning documents and talk about each client’s wishes, as well as their intentions for the future. We gather a great deal of information, including insight into the client’s family dynamic through a series of simple exchanges and conversations.
In order to get an estate plan started we ask our clients to consider the following:
* What do I want to leave behind?
* How do I want my wealth to affect my children’s lives? My grandchildren’s lives?
* What degree of control do I want after I’m gone?
Some of the common estate planning techniques for transferring assets or wealth to other generations includes some non-conventional methods such as family limited partnerships and other family business entities, complex irrevocable Trusts, and lifetime gifting strategies. We are equipped with the knowledge and experience to recognize the facts that fit a planning opportunity, educate each client on the strategy, and further suggest how a sophisticated money-saving technique or strategy suits a client’s plan.
Helping our clients explain what will happen with the estate to the beneficiaries is an important but somewhat overlooked part of where we add value during the estate planning process. Talking about death and money issues isn't everyone's favorite topic. So having a lawyer help families navigate these waters is extremely beneficial for most families and something that we have found helps put everyone's mind at ease. Many people don't fully understand how money or property gets distributed from a Trust or during the probate process. We can answer some of those questions on the front end and help alleviate any tension or angst among family members.
If you have estate planning questions or want information about transfer your wealth or family business to the younger generations, give us a call at 253.858.5434 to set up an appointment today. We represent clients throughout Washington and Idaho and are available to meet in person, by phone, or via video conference.