Planning for the future can sometimes feel like navigating uncharted territory, and one topic that often gets pushed to the back burner, but shouldn’t, is what happens to your assets and legacy after you’re gone.
This discussion is relevant now more than ever, as more and more of Australia’s golden generation are deciding how to invest their finances. It is what experts are calling ‘The Great Wealth Transfer,’ i.e. a significant shift in the financial landscape as trillions of dollars are expected to change hands in the coming years.
Such a monumental financial transition can raise a wealth of questions from both sides of the coin, and while many envision leaving a legacy through tangible assets, such as real estate, it’s important to consider the burden that the passing over of physical assets can place on family and future generations. Upkeep, management, and potential complications in the transfer process can all create unwanted challenges for your loved ones.
Instead, you could consider the option of cash investments as something that doesn’t require hands-on maintenance and attention from you now, or those around you in the future. Your money is part of your legacy, a testament to your hard work and financial wisdom. Finding an investment space you trust with an approachable team who can speak to you, or anyone you nominate to carry on your legacy, is no easy task. However, it is one that, if planned correctly, can create a seamless and beneficial transition for years to come.
However, starting conversations early, setting clear goals, and allowing for open and honest communication, can pave the way for a smoother transition no matter your legacy choice. Discussing your wishes with trusted family members, or advisors, can help you answer important questions, such as:
‘How did I acquire my finances and who do I most trust to currently hold them?‘
‘Have I communicated the importance of this trusted investment to my family?’
‘Have I established a beneficiary plan or involved my family with my trusted investment fund?’
‘Is the process of closing or settling my investment accounts an overwhelming choice for my family?’
‘Should I implement processes to allow those accounts to keep running for them?‘
Remember, while this topic may not directly apply to you now, it is still a discussion worth having with trusted advisors. While a not entirely pleasant dinner conversation, it is conversations like these that are best had when you’re not under the pressure of dwindling time, and can speak calmly, with a clear mind.
At GPS, we believe the best foundation for your legacy is a trusted partnership. We offer our investors, both current and future, a small and approachable team who are happy to speak with anyone, even in-person, about the partnerships we’ve built in our 30 years of operation, and answer any questions they may have regarding our Investment Fund options.
We’ve been having these conversations with our investors recently, and always welcome the opportunity to support your dream by engaging friends or family in our options when planning for your future with us.
So, whether you are considering how to pass on your wealth, or you think a friend or family member might benefit from the conversation, it is never too early to start.
