What type of inheritance will you leave for your children? Your legacy matters. Plan today to support their future.

What Type of Inheritance Are You Giving to Your Children?

By Net Worth Advisory Group

When we think about leaving an inheritance behind for our children, we often think about writing a will and splitting up our money. But a legacy is more than just dispersing cash. Will what you leave them keep them supported for years, or will it be a jumbled mix of assets, debts, and confusing paperwork that takes forever to untangle?

If you hope to hand down your wealth to your kids, it’s key to make the transition as simple and easy as possible. When they’re dealing with sadness and big choices, they shouldn’t have to stress over a messy inheritance. Read our following guide to understand how planning your legacy and estate carefully can pave the way for the future success and support of your loved ones.

The Importance of Estate Planning

Estate planning should be an integral part of your financial and retirement planning. Failing to have an estate plan may not have a significant impact on your own life, but it will undoubtedly affect the lives of your loved ones after you’re gone.

In the absence of an estate plan, your death will be considered intestate, which means there was no valid will in place at the time of your death. The state in which you lived will determine who inherits your property through a process called probate, which can take anywhere from 6-9 months or even several years without proper planning.

In addition to this process lasting a long time, your inheritors may face expensive fees, predatory claimants, and loss of control over what happens to your estate. Probate can cost up to 3-7% of your total estate value. And because this process becomes public information, this means that greedy creditors or estranged relatives may attempt to claim portions of your wealth.

Good estate planning mitigates these risks and provides your family with a solid plan for how your wealth will be transferred. The professionals in your life, such as your estate planning attorney and financial advisor, can become trusted resources for your family to lean on during this difficult transition.

Create a Lasting Legacy

Additionally, good estate planning incorporates legacy planning, which can be even more beneficial to your inheritors. Legacy planning allows you to incorporate family or financial values into your wealth transfer. If your children aren’t as adept at money management or have made financial mistakes in the past, your legacy planning can help guide them through what to do with their new wealth. Finally, legacy planning may help to protect your grandchildren and encourage generational wealth-building for decades to come.

Take Action Today for Your Future

If you haven’t given much thought to what kind of inheritance you’ll leave for your kids, now’s the moment to start. The last few years have shown us that we can’t predict what’s coming next. It’s not fun to think about our future passing, but the truth is that we don’t know how much time we have, and putting a plan in place can ease the minds of our loved ones.

​​Instead of leaving your family with a puzzle to solve, give them a legacy that can make their lives better and shine on for generations. The team at Net Worth Advisory Group is here to support you, share knowledge, and navigate all your questions. When you work with us, we use our experience to help you feel confident, knowing that someone’s got your back (and your family’s). If you’re looking for a financial planner who understands your specific situation and encourages you to take control of your finances, reach out to us today at 801-566-6639 or schedule a complimentary, no-obligation consultation to see if we are a good fit to help you pursue your goals.

To learn more, visit our website.

About Net Worth Advisory Group

Founded in 2003, Net Worth Advisory Group is an independent, fee-only, CERTIFIED FINANCIAL PLANNER™ and investment advisory firm located in Salt Lake City, Utah. We specialize in helping people transition from the workplace into retirement and ensuring that those who are already retired will not outlive their nest egg. Our top priority is to have clients experience a greater sense of ease with diligent, personalized wealth care and the implementation of customized financial plans and ongoing personalized asset management. We equip all clients with a comprehensive financial plan, meeting every six months to update as needed and review investment performance. Our team is passionate about providing comprehensive financial planning with the fee-only model, and we love feeling like we’re making a difference in our clients’ financial lives.

As a NAPFA-registered fee-only advisory firm, our recommendations are untainted by a hidden agenda to sell financial products paying large commissions. Unlike our competitors at brokerage firms, insurance companies, and banks, we are compensated solely by our clients, so we are financially motivated to provide objective advice that is always in our clients’ best interests. Anyone can call himself or herself a financial planner, but only an advisor with the CERTIFIED FINANCIAL PLANNER™ (CFP®) designation has met the education, examination, experience, and ethical requirements mandated by the CFP® board. According to the CFP Board, there are 97,000+ CFP® professionals in 2023, representing about 1 in 3 financial advisors in the U.S. Net Worth advisors are also members of NAPFA, which only has about 4,600 advisors, and are either CFP® professionals or CFP® professionals in training.

Net Worth Advisory Group’s mission is to significantly improve the lives of our clients by delivering exemplary financial planning and wealth management advice that enables them to live the lives they have imagined.

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