Coordinate Estate Plans and Wealth Management Strategies

Some things work together separately but are enhanced when merged. Take music and lyrics. You might enjoy listening to just the music of a piece. You could also read the lyrics like a poem. Separately, they work. But together?  Beautiful music! Estate planning and wealth management are similar. They serve separate purposes. However, if coordinated, estate planning and wealth management may bring about a better result.

Estate planning deals with an individual’s preferences regarding their assets. An estate plan may provide for property to be orderly distributed to heirs. Some use an estate plan to reduce taxes and transfer wealth to their families through trusts.

Wealth management involves strategies that maintain and grow a person’s wealth. Some wealth management plans may:

• Help you define your legacy,
• Prepare the next generation to receive your wealth,
• Engage in charitable giving,
• Find and use appropriate tax strategies,
• Protect assets,
• And deal with personal finance issues like debt or retirement planning.

These goals sound very similar to the goals many people have while preparing an estate plan. So, how can estate planning and wealth management strategies work hand-in-hand?

Coordination is Key.

Coordinating wealth management strategies with estate planning tools may maximize the benefits available to you.

• You may decide to use a trust. It should be in sync with your wealth management and beneficiary designations.
• Certain types of trusts and family partnerships may reduce taxes and educate the younger generation or give them time to learn about wealth management.
• Charitable remainder trusts can reduce a taxable estate, provide an income to the grantor, and provide much-needed funds to a charity.
• Asset protection may be a vital part of an estate plan. Transferring assets to certain types of trusts may protect them from judgments and claims during life. After death, asset protection strategies may prevent your estate assets from going to your chosen heirs. It may also protect your less fiscally-responsible beneficiaries.

Coordinate with an Estate Planning Attorney.

If you are engaging in wealth management and estate planning separately, let your advisors know.

As a Florida attorney board certified in Wills, Trusts & Estates, Attorney John Mangan assists clients with estate planning needs. To schedule an appointment, call us at 772-324-9050 or fill out our Contact Form. Our office is conveniently located in Palm City, Florida. We also help clients throughout Florida, including Stuart, Palm City, Hobe Sound, Jupiter, and Port St. Lucie.