Wealocity helps in channeling your wealth from estate planning to asset protection across complicated regulatory environments through employing structures like trusts. At wealocity we develop structures to transfer and protect assets for lasting consequences for investor and their families in an uncertain world.
The philosophy at Wealocity is about putting family first. This defines and drives our approach in the intergenerational transfers of our client’s wealth. Our client’s accumulate many assets and significant worth over their lifetime and they contend with the questions on how to retain these assets within the family, minimize the possible tax posthumously and also to instil a similar value & approach towards money management.
The strategies implemented will greatly vary from family to family. One trend is for parents to include the successive generations in their charitable plans. Many benefits that include are : awareness of the family’s wealth and values, a sense of money management, the ability to interact with outside advisors, a deeper understanding of charity and those initiatives that interest the younger generation.
For an effective Intergenerational Wealth Transfer, it is of primary importance for the family to define its path. At Wealocity, we embark on a structured approach to weed out these hurdles that are common, this includes :
Defining family’s history and values
The very definition of family itself is constantly evolving in today’s world. It no longer includes only those descendants and ancestors whom an individual considers family but also involves many different characteristics. We begin with an understanding of the timing of the wealth in one’s life and its impact on the family’s values and relationships.
Timing/fostering an interest
Making children part of the planning is ideal but it needn’t be forced at any stage. The early the better. Parents could share the key for their success in wealth creation and how would they want to tell this story to the future generations. This implies the money management and values that could be passed on.
Sharing the money message
The next step involves the parents to communicate to the successive generations on what would like to be passed on. If there is a philanthropy involved, the basis and reason for making such moves needs to be passed on.
Choosing the right wealth transfer vehicle
not every planning approach would fit every family’s history, values, charitable goals and mission statement. Wealocity as advisor avoid complicated drafting or extraordinary paperwork and try to keep the concept simple.
The family meeting
with the ever expanding world, not many family members live not even near to each other. The family meeting is not only an important step for intergenerational wealth transfer planning but also benefits the bringing together of generations of the family. It’s an extremely effective way to review the family’s wealth transfer and philanthropic goals.
Intergenerational wealth transfer is not an event but a process. Most of the times as advisors, we offer suggestions and recommendations for a successful transfer.