
Creating Wealth Across Generations with Estate Planning
Estate planning is something everyone needs to do, regardless of the total value of their estate. Having a clear plan in place is the only way to ensure that property, personal possessions and investments are inherited by the people you love. If your goal is to help your family build wealth, this is especially important, according to an article from Forbes, “Building Generational Wealth: How to Ensure Your Assets Last.”
Without a last will and testament, the state decides who should receive property based on the intestacy laws, which are not likely to reflect your wishes. When Prince died without a will, it took many years to untangle his estate, not to mention the millions paid in federal and state taxes.
For parents, the most important decision in crafting a will is deciding who will be their children’s guardian and naming someone to take care of their finances in case of incapacity.
The myth that trusts are only for ultra-wealthy individuals is starting to fade, as more people understand how trusts work. Trusts provide a way to control distribution over time, building a legacy and protecting assets from creditors as well as spendthrifts. With a trust, you can create long-term strategies to distribute assets over multiple generations.
Family conflict is recognized as one of the most significant challenges to creating a successful estate plan. Open and honest conversations about the parents’ vision for their inheritance and understanding the reasons behind their decisions can help avoid conflict after they pass away. For some families, this is an ongoing discussion, while for others, it may be helpful to have the entire family meet with an estate planning attorney in an office setting.
Wealthy parents often worry about children squandering their inheritance. Using trusts can set restrictions on how inheritances are spent and control their distribution. Another reason to consider trusts for an estate plan: money kept in a trust cannot be attached in case of a divorce or debt. Assets can be directed to be spent only on health, education and maintenance.
Estate planning isn’t just about death. It’s also about protecting you while you’re living. An estate planning attorney will help create Power of Attorney documents so you can decide who you want to take over your finances if you become incapacitated. Healthcare documents allow you to name a person to be involved with your medical care, making decisions and talking with doctors. Without healthcare documents like a Healthcare Proxy, HIPAA Release Form and Living Will, your family won’t be able to talk with doctors, make crucial medical decisions, or know what you would have wanted if you weren’t able to speak to convey your wishes.
A consultation with an experienced estate planning attorney is the first step in creating a plan to establish a legacy. It takes some time, so start by making an appointment. Your future self and your family will be grateful.
Reference: Forbes (June 3, 2025) “Building Generational Wealth: How To Ensure Your Assets Last”