It is no secret that many people wish to leave a financial legacy to their family after they pass on. This is true for both wealthy couples as well as for those with modest incomes.
By following a few proven strategies, you can increase your chance of having a positive impact on your heirs, perhaps even for multiple generations
The importance of the right mindset
An article by Kiplinger illustrates how creating generational wealth involves many different aspects. One important factor is that you set out to leave a legacy at some point in your estate planning. This could mean concentrating less on your immediate heirs, your children for most people, and looking further into the future to grandchildren and beyond.
A second step pertains to you having conversations with your living heirs. Let them in on your plans to the extent that seems prudent. If you wish to leave a legacy that lasts and that helps as many friends and relatives as possible, it is important to communicate your vision. As the giver, you must provide some guidance on what to do after you pass away.
The value of putting things in writing
Whatever your vision is for the long-term future of your financial legacy, it makes sense, both legally and personally, to record your wishes in writing. This has the power to make your plans become reality. It clarifies your intentions and allows everyone to read your desires, even those not born yet.
Eventually, your estate planning will involve specific steps to pass on and replenish your legacy. The success of your plan depends upon many factors, including having the proper legal framework in place.