Spring 2021|volume 14|Issue 3

    Your Finances

    Preparing the Next Generation to Receive Their Inheritance


    So often clients tell us, “I wish they had taught this in school.” We wish that too because a financially educated and aware client is best. By that, we aren’t referring to someone educated as a financial analyst but rather someone who is conversant with the concepts of financial goals and the means and behaviors necessary to work towards them.

    Maybe an analogy will clarify. Years ago, a client said that he trusted his physicians to do the best for him as he underwent serious medical treatment. But, he added, he still must be his own case manager, meaning he had to understand what was being recommended to him and to ask the right questions in order to help frame the right decisions for his individual situation. It is no different in financial advising. We craft an individualized financial plan and road map for each unique client situation, and the client must be able to understand that and come to the right action decisions.

    But how do we come to that state of competence and readiness? We weren’t taught the concepts in school, not even in graduate school. We have gone to great effort over almost 50 years to educate our clients this way, both individually and in classroom settings, and clients regularly tell us that they appreciate having that frame of reference. But what about your grown children? Are they ready to take possession of their inheritance? Or, will they have to learn “on the job” potentially with costly outcomes?

    Now is the time to start. It isn’t ever too early to get your beneficiaries on the right knowledge track. Yes, like many younger people, they may feel they know all that they need, but we know that isn’t true. So talk with your financial advisor to help craft an education track to ready your children and grandchildren for the stewardship of the inheritance they will receive as a result of your lifetime of hard work.

    Investment Advice offered by Investment Advisor Representatives through Fragasso Financial Advisors, a registered investment advisor. Securities offered by Registered Representatives through Private Client Services, member FINRA/SIPC. Fragasso Financial Advisors and Private Client Services are unaffiliated entities.