Allocating Your Assets: When Fair is Not Equal, Talk with Your Kids
There are many things to take into consideration when it comes to developing an estate plan that suits your needs and leave behind your assets in such a way that makes you happy and also accounts for any of your children’s needs. One of the best things that you can do is partner with an experienced estate planning attorney who can provide you with the insight and the guidance that you need to put together an estate plan that will help you to accomplish the goals that you have for your assets.
Considerations When Allocating Assets
There are several details that you should consider when it comes to putting together an estate plan that may not equitably distribute assets to your children. Here are a few examples:
• Are your children financially independent?
There are many families who have children who are financially independent in and of their own right. Therefore, you may want to consider which one of your children you would like to distribute a certain amount of money to. Although you love your children equally, providing them with different distributions based on their current wealth is something that you may want to think about.
• Do you get along with your children?
Although this question may seem harsh, it’s important. If you don’t get along with a child, you may not want to leave as much of your legacy to him or her. Keep in mind that your will is something that can always be changed. If your relationship with that child takes a better turn, you can always adjust your asset allocation in the future.
• Do you want to split your estate between your children and your grandchildren?
If you have grandchildren of any age, there is a possibility that you may want to split your estate not only among your children but your grandchildren as well. If this is the case, then you should work with an estate planning attorney to consider the assets that you want to leave behind as well as the percentages to ensure that this approach is something that you feel comfortable with.
As you start considering these questions, something else that you will want to do in the process is to take stock of your assets. For example, in many cases, your home is your most lucrative asset. Therefore, it’s only natural that you would want to divide that home into shares for your children. However, if you are distributing things unevenly, then it’s possible that you may want to leave your home to one child and leave other assets such as bank accounts, life insurance or stocks to your other children.
One of the best things that you can do is to walk into your meeting with your estate planning attorney with a list of your assets so that he or she can review them with you to ensure that every detail is covered in your estate plan. If something else comes up later, your current plan can always be adjusted.
Set Up Your Estate Plan Today
Regardless of whether you are trying to put together a straightforward estate plan or there are small nuances that you need, our team is here to provide you with the guidance that you need throughout the process. We have worked with a wide range of clients, each of which have their own requirements when it comes to what they need in their estate plan. Take the guesswork out of the process and get in touch with us today to learn more about your options.