It is an interesting phenomenon that by ignoring something uncomfortable, we actually breathe life in to it and give it power over us.
This idea came to mind after a recent conversation we had with a few of our clients about family wealth. We were talking about what it means to "leave a lasting legacy" and that we typically think about estate planning and philanthropic opportunities. One client thoughtfully pointed out that leaving a legacy with our children also means teaching them about financial responsibility and what it means to be wealthy.
In a recent survey of 650 families by Merrill Private Wealth they found that "two-thirds of Americans who have at least $3 million in investable assets have not talked to their children about their wealth or never will." The main reason they choose not to is that "parents do not want inheritance to rob children of motivation. So if a parent does not say anything, a child will never figure out the family's wealth." We know this strategy doesn't quite work.
We live in a culture where money is a taboo topic and we have been taught that it is to be discussed in whispers. But by not sharing our ideas about saving, spending and what it means to have wealth, we may actually set our children and grandchildren up with negative associations about money or worse, instill beliefs of entitlement and a disconnect from the hard work that built it.
We believe that having conversations early and often with younger generations is important and necessary to truly leave a lasting legacy. Here at Parks Wealth Management, we can help facilitate these conversations by inviting you in for a family financial planning meeting.
Working with you to establish an appropriate agenda based on your family circumstances, we can tailor these meetings to address your particular goals and concerns around your family's financial wellness and longevity.
We are always available to answer any questions you may have and love hearing from you!