The popular PBS show, Downtown Abbey, provides multiple examples of estate planning opportunities. Although the Earl of Grantham is arguably better off than most of us, his financial planning leaves much to be desired.
Anyone with substantial assets should consider a dynasty trust to protect their assets from bad management, creditors, spendthrift family members and divorce settlements. The definition of substantial assets can depend based on how many beneficiaries will receive a share, and how well equipped they are to manage the asset and finally, how much money is available.
A dynasty trust is essentially a trust where the assets are disbursed over a period of time, in most cases over years, in others over generations. Such trusts typically involve a professional trustee, such as a bank trust department or law office, but could also be managed by a capable family member.
The world we live in is increasingly competitive and uncertain. The days of a 30 year career and comfortable pension are becoming a memory. In order to allow future generations a less stressful financial life, a bit of planning can help smooth life’s bumps. Planning can also help insure that assets earned in a lifetime are not dissipated in a few short months.
In planning for the future, we each need to ask not only, “to whom do I leave my assets?” but also “how do I let them have it?”
Estate Planning in Lenawee County
If you have questions regarding your estate, please call Chuck at 517-423-8344 or contact our office online.