Wealth Management Dallas: What You Need to Know About Legacy Planning

You can also book a consultation with one of our expert financial advisors at Pillar Wealth Management. Having been in the business for more than three decades, our wealth managers know everything there is to know about legacy planning Dallas, estate planning, wealth transfer, and more so that you can attain financial serenity for yourself as well your family and loved ones. Our fiduciary advisors will work with you to figure out your exact goals and ambitions and design a customized investment plan accordingly.

Table of Contents
What is Legacy Planning? What Is the Difference Between Legacy Planning and Estate Planning? Why Is Legacy Planning Important? What Are the Biggest Challenges in Legacy Planning Dallas?

What is Legacy Planning?

No one enjoys talking about death, let alone planning for it. Yet, it is inevitable, and therefore, it is an important factor to consider in all your life’s decisions. This is where legacy planning comes in. Essentially, legacy planning helps you design a system that allows the smooth transfer of your wealth from you to your heirs, family, or loved ones.

Depending on how large your wealth is, the nature of your assets, your goals for your wealth and assets, and other similar factors, legacy planning can be a simple or very complicated affair for you. That is why it’s important to reach out to a trusted and experienced advisor who can understand your case and guide you accordingly. You can learnmore about choosing a financial advisor from this handy guide.

Legacy planning can also involve a range of financial decisions, and these don’t necessarily have to be taken when one is old or sick. Regardless of your age, if you are an investor with $5 million to $500 million in liquid assets, you need to start legacy planning right away to secure your assets for yourself and your loved ones after you’re gone.

If you wish to contact a wealth manager to talk about your legacy planning, click here to start a conversation with one of the advisors at Pillar Wealth Management.

What Is the Difference Between Legacy Planning and Estate Planning?

If you carry out a quick search of legacy planning Dallas on Google, you will start seeing another common term everywhere, and that is estate planning. Estate planning and legacy planning are often confused as being the same thing. While they do share a lot of similarities, there are some key differences as well.

Legacy planning and estate planning both involve the distribution of your wealth and assets amongst your heirs after you’re gone. However, legacy planning goes a little further than simple wealth transfer Dallas. It represents a more holistic approach to estate planning.

Rather than just focusing on the division of assets or the creation of trust funds, legacy planning takes into account who you are, what you believe in, and precisely what legacy you want to leave behind. Therefore, it includes the creation of foundations, setting up charitable organizations, preserving the family history, and more.

It involves a more complex financial planning that is beneficial for you now and later for your family as well. If you are interested in learning more about family financial planning, you can order a free copy of our book, The Art of Protecting Ultra-High Net Worth Portfolios and Estates – Strategies For Families Worth $25 Million To $500 Million.

Why Is Legacy Planning Important?

Whether you’re unsure about wealth management Dallas services or are still looking for a suitable wealth management Dallas firm, you need to get started on your legacy planning right away.

For high net worth and ultra-high net worth individuals, managing their wealth in their own lifetime can be pretty difficult and confusing. It can get even harder for their families and loved ones when they are not there. However, with the right wealth manager and a few critical changes, they can boost their portfolio performance for their wealth and assets to outlast them and benefit their heirs. You can learn more about portfolio performance from this comprehensive guide.

Without proper legacy planning, the transfer of your wealth after your death can be a messy and time-consuming affair. If done the right way with an experienced financial advisor, it can save you a lot of trouble. Here are a few reasons why legacy planning is so important for investors with $5 million to $500 million in liquid assets.

Your Assets Go in The Right Hands

With proper legacy planning, you don’t have to worry about your wealth falling into the wrong hands. With the help of an advisor, you get to plan the division and distribution of your assets precisely how you want it.

Therefore, this ensures that that is the way the transfer of wealth takes place, even in your absence. It includes all your wealth, be it property or stocks, or some other investment portfolio. You can decide exactly what and how everything is dealt with. In the absence of a legacy plan, you lose control over all these factors and decisions, which can cause a lot of confusion and conflict.

 

 

Helps You Avoid Excessive Tax Burdens

When you have worked hard to amass tens and hundreds of million dollars, you want your heirs and loved ones to get the most of it. You definitely don’t want to lose a big chunk of your wealth to tax payments. This can diminish the value of the funds meant to secure your family’s future. Unfortunately, that is what usually happens when you don’t have a legacy plan in place.

You might not know the true value of your assets or have certain hidden assets. Unless these are not all ascertained, you could end up with a huge tax bill that would significantly reduce the value of your assets once it reaches your beneficiaries. A wealth manager or advisor can help in this regard and help you set up the proper measures for reducing your tax bill and ensuring the maximum transfer of wealth to your family.

Our financial advisors at Pillar Wealth Management offer a number of financial services, including tax management and estate planning. This makes them well-versed at handling all matters related to legacy planning and managing your taxes in particular. If you’re concerned about your own tax bills affecting your wealth, you can click here to get in touch with one of our advisors for guidance.

Prevents Family Squabbles

Wealth transfers after the death of a loved one, or even while they are still alive, can sometimes involve a lot of conflicts and squabbles within the family. When there’s no proper plan in place or clarity regarding the division of assets, it can be confusing for the beneficiaries to figure out how much they should get, and this often leads to messy fights between the family members.

This is where a legacy plan really comes in handy. If you carry out legacy planning in your lifetime, you can decide precisely how much and what each beneficiary will receive. Moreover, since everything will be documented and legally binding, there willbe no cause for questioning or conflict.

What Are the Biggest Challenges in Legacy Planning Dallas?

As crucial as legacy planning is, it does not come without its challenges. It can be even harder for high net worth and ultra-high net worth individuals with a wide range of assets and an extensive business portfolio. You need to account for all your business assets and personal assets and then divide and distribute them accordingly. Moreover, the legacy planning has to include various factors such as the investor’s current goals, their life ambitions, and precisely what kind of legacy they want to leave behind.

At Pillar Wealth Management, we have a number of trusted advisors with extensive knowledge and experience regarding wealth management, estate planning, tax management, and much more. We offer fiduciary services and help our clients devise smart investment plans and portfolios that best suittheir financial situations and aspirations. If you want to get started on your estate planning or wealth management Dallas, click here to chat with one of our managers today.

Other than that, you can read about some of the challenges of legacy planning here.

Coordinating Legacy Planning with Retirement Planning

When you are an affluent investor with $5 million to $500 million in liquid assets, legacy planning is not your only concern. You also have to actively avail other wealth management Dallas services. For instance, you have to worry about your taxes, accounting, banking, risk management, expanding your portfolio, and other investment-related matters. You can refer to this guide to learn more about maximizing portfolio growth strategies.

Often, you also have to worry about your estate planning along with retirement planning. These are already slightly complicated on their own. But when you try to coordinate both of them together, it can get a little complex to handle. You have to integrate different aspects into each planning, such as accounting for your IRAs and 401(k)s in your legacy planning.

Accounting for Unexpected Life Events

Another challenge that affluent families might face during legacy planning is accounting for unexpected life events. A sudden death, divorce, bankruptcy, or any unforeseen events can completely change the circumstances for your legacy plan. How can you leave behind a legacy when you know nothing about the future events?

Therefore, legacy plans need to have some flexibility and space so that you can build contingencies into it and effectively deal with any changes or surprises. This is also why legacy planning requires an experienced advisor, such as those at Pillar Wealth Management, who knows how to build legacy plans as well as retirement and investment plans that account for unexpected life events.

Legacy Planning inComplex Family Structures

Legacy planning can be a bit of a challenge in complex family structures as well. When the spouses have different children, different financial goals, different assets, it can be difficult to divide and distribute the wealth.

There can be disagreements, and it can take time to reach a decision that favors everyone and is agreed on by everyone. If not planned properly, sometimes beneficiaries can lose their inheritance entirely. Legacy planning helps prevent that.

Choosing Wealth Management Dallas

If you’re an individual with high net worth or ultra-high net worth and are thinking of starting your legacy planning, that is a wise decision. However, it can be a little tricky to choose a wealth management firm for it. Therefore, here are some of the factors you can use to evaluate and choose a wealth management Dallas firm:

• Experience
• Services
• Track Record
• Interaction with a representative

Legacy planning is not easy, and yet, it’s not something you can ignore either. Therefore, you need the help of experienced and knowledgeable advisors who can guide you. At Pillar Wealth Management, we have a combined experience of more than 60 years as well as a dedicated team of financial advisors who are ready to offer you a wide range of services and customized financial solutions. Click here for a free consultation session at Pillar Wealth Management today.

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