You work to provide for your loved ones. Eventually, you acquire and grow your assets. As you go along, you also find ways to protect these assets so you can generate income, secure a comfortable retirement, transfer your wealth to your loved ones, and leave a legacy.
Estate and legacy planning may sound like the same thing because they both have something to do with your assets upon death. As such, they facilitate the smooth and effective transfer of your assets to your beneficiaries when you pass on.
Estate planning is different from legacy planning
Estate planning is focused on the tangibles and your assets’ monetary values and how you can protect them. Legacy planning, on the other hand, is a type of estate planning where you prepare how you’ll pass on your properties and assets to your loved ones upon death. These two are often used in conjunction with each other, so you have a comprehensive plan in place.
Estate and legacy planning is not just for the wealthy
It’s a common misconception that estate and legacy planning is only for the super-rich who own corporations or celebrities with multi-millions. Yes, high net-worth individuals who want to get their financial affairs in order can benefit from estate and legacy planning.
But if you have growing assets and want to protect these assets for your future, or if you plan to leave a legacy, you still need an estate and legacy plan. It protects you and your loved ones regardless of wealth.
There are many ways to transfer wealth
If you plan to leave your wealth to your children or grandchildren, there are many ways to do it. The right one will depend on the size of your estate, your beneficiaries, or your assets.
Some ways to protect your assets and preserve your unique legacy include creating a revocable living trust, allowing you to manage your property while you’re still alive.
You can also build an irrevocable life insurance trust that will prevent estate taxes from affecting your life insurance policy so your loved ones can benefit from the proceeds.
There’s also the durable power of attorney, where you will have someone you trust to manage your financial affairs if you are unable to.
On the other hand, the health care power of attorney can make medical decisions on your behalf should you become incapacitated.
Every financial situation, needs, and goals are different. This is why working with a team of estate and legacy planning experts is essential to ensure your objectives are met.
Now’s the right time for estate and legacy planning
No one knows what tomorrow brings, so the right time to prepare for your estate and create a legacy is right now. The sooner you get your affairs in order, the sooner you’ll have peace of mind that your loved ones and assets will be taken care of.
RCBC Wealth Relationship Managers can help you through the process of estate and legacy planning
The best way to come up with a comprehensive and tailored plan reflecting your goals would be to sit down with financial planners, such as RCBC Wealth Relationship Managers.
As registered financial planners, RCBC Wealth Relationship Managers have the training and the expertise to walk you through your estate and legacy planning. RCBC Wealth works hand in hand with RCBC Trust to set up the necessary structure for your needs and goals. RCBC Wealth also adopts the open architecture system, allowing it to work with any or all parties as required or chosen by its clients. With a holistic approach, RCBC Wealth Relationship Managers can provide all the needed services to manage your financial matters.
RCBC Wealth believes in the potential of your assets
Managing wealth is more than just wealth accumulation and enhancement. You must also protect your wealth by managing risks and leaving a financially sound and well-thought-out legacy to the most important people in your life.
Doing so will ensure you can still support your loved ones and secure their future without them worrying about hefty taxes and dealing with legal complexities.
If you’re ready for professional service and expert financial and investment advice on retirement, estate, and legacy planning, speak with an RCBC Wealth Relationship Manager today.
