What happens when people leave inheritance to their children? Often, the assets are spent and wealth only makes it to the third generation in 10 percent of families. While it is a challenge, there are some steps Ontario families can take when planning their estates to encourage wealth to continue through to more generations of children and grandchildren.
The first tip for Ontario estate planners is to focus on long-term strategies. For example, planners should take a big-picture look at all assets and beneficiaries to plan a strategy before executing a will. Working with trusted professionals, such as financial and an estate lawyer, can help reveal some of the most important aspects of estate planning.
Conducting family meetings and communicating wishes is a good tactic as well. Estate planning should not only be about wealth, but also about the family’s social, human and intellectual capital. Planning for the future of the recipient, rather than focusing on the amount of money and how is it being transferred, can cause a perspective shift that allows for better decision making.
Financial planning of any kind can be difficult, and estates are a particularly challenging issue as they can involve difficult conversations and many different personalities and expectations. However, those who care about the long-term financial health of their families will benefit from taking this process seriously and carefully considering how wealth will survive in the hands of certain individuals. After coming up with a plan, an Ontario lawyer can help solidify it with a legally sound will.
If you have any questions, please contact our Wills & Estates Lawyers at Merovitz Potechin LLP.