By Donald Albach
You put a lot of effort into acquiring what you have. We get that. So it makes sense that you want to leave behind a financial legacy that can endure for many years or even decades after you’re gone.
We believe it’s crucial to not only complete the fundamentals of estate preparation, but also to consider the process holistically. That could mean creating a trust, starting a foundation, tax mitigation, retirement planning, wealth management, crafting your will, or all of the above.
At Millstone Financial Group, our personalized services provide the entire spectrum of financial guidance you need to help preserve your legacy and pass it on to the next generation.
So what exactly is legacy planning and how does it work?
What Is Legacy Planning?
Let’s start with a simple definition. Legacy planning is the process of creating a plan for leaving your possessions to your loved ones when you pass away.
Depending on the size of your assets, this plan can be simple or very complex. One of the more complicated aspects of legacy planning is creating a family narrative around more principled values that go beyond transferring straightforward assets like cash or real estate.
For instance, some benefactors want charitable giving to be integral to the legacy they leave to their heirs. Or maybe education is a priority and you want to create a scholarship fund in your name.
Ultimately, though, there are no hard-and-fast rules that define legacy planning. The strategies developed are entirely dependent on individual circumstances.
How Legacy Planning Works
You can think of legacy planning as building a bridge between your life and the lives of those you’ll leave behind. It’s a step-by-step process.
- Set goals: What values do you want to leave behind? Who matters to you? How do you want your assets to be divided?
- Determine financial strategies: What’s the smartest way for your financial situation to mitigate tax liabilities? How do you optimize the value of your wealth that your beneficiaries receive?
- Establish a legal framework: Is your will in place? Do you have a power of attorney? What are your medical care preferences? Are your legal documents organized and in an accessible place?
- Communicate your wishes: Do your beneficiaries know about your plan? Are they comfortable with your wishes?
One of the better ways to utilize the steps above for creating a customized, well-defined legacy plan is to work with a financial advisor.
Financial Advisors and Legacy Planning
We believe, it’s critical to start preparing for your legacy as soon as possible to verify everything is in order when the time comes. A financial advisor can help with any questions or unique requests that might come up during the planning process, and provide guidance on how to move forward.
Additionally, a financial advisor helps you build wealth in your pursuit of a level of financial stability that allows you to incorporate wealth into your estate. Many people forget that if they lack a stable financial foundation in the first place, its harder to leave wealth as part of their legacy.
After helping to optimize your finances, the financial advisor offers guidance on how to confirm your affairs are run well and continue to thrive after you’re gone. To avoid any surprises, the advisor typically suggests scheduling a meeting with your next of kin to go over estate management.
During the meeting, you can communicate any thoughts or concerns you might have for how your wishes should be handled. It’s always smart to document any issues that come up during the meeting.
Don’t forget that life circumstances change. A financial advisor can help you regularly review and update your legacy plan to align with your current situation.
We’re Here to Help
We believe it’s smart to work with a financial professional for inheritance planning guidance, especially when your financial legacy is on the line.
Our team at Millstone Financial Group is dedicated to the financial concerns, goals, and perspectives you have. We prioritize treating your financial situation on a personal level. So when we say, “People first, numbers second,” we mean every word.
To get in touch with us, you can schedule a complimentary consultation by calling (732) 385-8544 or emailing dalbach@millstonefinancial.net.
About Don
Donald Albach is President and Co-Founder of Millstone Financial Group, an independent financial advisory firm helping pre-retirees and retirees pursue their retirement goals. Don has over 26 years of experience in the financial industry and focuses on retirement planning, designing retirement income planning strategies to guide his clients toward financial independence. Don graduated from Norwich University, the nation’s oldest private military college, and has worked his entire career in the financial services industry, including First Boston, MetLife, and C&A Financial Group. He co-founded Millstone Financial Group in 2012 with Michael Russo. Don and Mike met each other while working at MetLife, and in 2003 both he and Mike were recruited to work at C&A Financial Group, where they spent the next 10 years. It was at C&A Financial Group where they decided they needed to start their own company that strictly focused on retirement income planning. They both had a desire to help people navigate the complexities of retirement and created Millstone Financial to do just that.
Don currently lives in Monroe Township, NJ, with his wife, Tina, to whom he has been married since 1992. They have three children together: Paige, Donny, and Ally. Don’s two passions are sailing and watching college football, and he also enjoys cooking Sunday dinner for his family. To learn more about Don, connect with him on LinkedIn.
Advisory services are offered through Millstone Financial Group Limited Liability Company, a Registered Investment Advisor in the State of New Jersey. Insurance products and services are offered through Millstone Financial Group Limited Liability Company.
All material discussed is for informational purposes only. Opinions expressed are solely those of Millstone Financial Group Limited Liability Company and staff. All topics covered are believed to be from reliable sources; however, Millstone Financial Group Limited Liability Company makes no representations as to its accuracy or completeness. Investing involves risk including the loss of principle.
This article shall in no way be construed as a solicitation to sell securities or investment advisory services to residents of any state other than New Jersey, or where otherwise permitted. All information and ideas should be discussed in detail with your individual adviser prior to implementation.
This material is intended to provide general financial education and is not written or intended as tax or legal advice. Individuals are encouraged to seek advice from their own tax or legal counsel.
