MULTIGENERATIONAL WEALTH PLANNING
TACKLING WEALTH TRANSFER TO THE NEXT GENERATION
GAINING CLARITY INTO YOUR SITUATION
To be truly efficient, even the most complex family situations begin with a thorough planning process. If you are interested in our extensive ClearSight analysis, we will start with a discovery phase. This is simply a time for the Clearstead Trust team to learn as much as possible about your family, financial resources and your thinking about the future – in a fiduciary sense. This means understanding your investments: how your taxable, non-taxable (retirement), and any private placement accounts are invested.
We want to understand your day-to-day living expenses and any potential, larger expenditures associated with education and capital purchases. What is the cost to maintain your primary residence? What about additional real estate properties? What is your current earned income and your projected future income? Do you own any businesses? What is your tax situation? Is your life insurance held in trust? Do you have irrevocable trusts?
Our discovery process is highly confidential between you and your team members at Clearstead Trust. We are careful to safeguard your private information always using secure email to transfer documents and private information.
Our team then analyzes all aspects of your financial portfolio and generates a high level, ClearSight report to provide a thorough picture of your financial situation. Specifically, we generate a net worth statement, cash flow statement, and a summary of your investment accounts. In addition to these documents, we provide you with commentary asking questions and identifying items for further discussion. This analysis essentially serves as a baseline for a longer term planning discussion.
Once we gain more clarity into your financial profile and objectives, we will then make sure your investment strategies are aligned with your plan.
Many larger families create investment policy statements based on their collective goals, investment horizons, and tolerance for risk. These overarching investment objective statements serve as our collective guide for managing family assets.
Tax optimization often provides tax saving opportunities for multigenerational families. Clearstead Trust has a history of identifying material savings by recommending appropriate strategies not implemented before.
Clearstead Trust has experience teaching younger generations about managing family wealth. Often, we’ll work with first generation clients while the children or grandchildren are young and discuss goals, then assist you in creating a plan that encourages responsible fiscal behavior. For example, at an annual family meeting, you might give the younger generation the responsibility of a smaller, charitable gift. This empowers stewardship decisions for the younger generation, preparing them for a future discussion about wealth and their own investments.
It is customary for Clearstead Trust to hold annual family meetings with clients, as well as quarterly meetings with individual clients who are part of that larger family.
Ultimately, our goal is to engage in an ongoing conversation with you about appropriate strategies to foster the long-term stewardship of family wealth.