What are wealth planning services? Simply put, wealth planning is the process of balancing and addressing these four objectives: security, a comfortable standard of living, the ability to provide for others and the ability to leave a legacy.
It is more than an investment—it’s a multi-step process that clients go through as they make decisions about who will receive their assets and when they will receive them. Since it’s tailored to the individual, a wealth plan is an interactive process that takes into account each client’s unique financial situation.
Creating a wealth plan is a collaborative effort with input from the client’s other advisors, such as accountants and estate planning attorneys. As a result, the client is presented with a comprehensive, well-developed plan.
By utilizing proper wealth management planning, you can set yourself and your legacy up for financial success for years to come.
4 Ways Wealth Planning Sets You Up for Success
1. Security
From a young age, we’ve all heard how important it is to save a sensible fraction of our money. Why? Because proper financial planning allows for future financial security. By becoming financially secure, you’ll experience many benefits. As simple as it sounds, one of the basic benefits is just having extra money in your bank account. This allows you more freedom and flexibility when it comes to making changes in your life.
2. A comfortable standard of living
What is a comfortable standard of living? The answer will vary for everyone since we’re all different and have unique financial habits. Generally speaking, standard of living refers to the level of wealth, comfort, material goods and necessities available to a certain socioeconomic class or a specific geographic area.
Standard of living and quality of life are affected by things like financial security, job satisfaction, family life, health and safety. Financial decisions can affect your quality of life as well. For example, you might decide to drive to work instead of riding your bike or walking. It might mean more fuel cost, but you won’t have to battle the elements.
By planning wisely for financial security, you’ll experience a better quality of life. When you eliminate the financial stress that comes from living paycheck to paycheck, you’ll be able to enjoy a more comfortable standard of living.
3.The ability to provide for others during their life
Establishing a wealth plan at any point in your life is beneficial but the earlier you create a plan, the more people you will be able to help throughout your life. Something like setting up a college fund for each of your children is an investment opportunity to help your children enter adulthood on a solid foundation. Another example of being able to provide for others is investing in real estate that can help your family or close friends rent at a reduced cost.
4.The ability to leave a legacy when gone
When approaching retirement, it is common for people to start thinking about how they’ll be remembered and what they’ll leave behind. Creating a financial legacy for your family takes careful planning and advice from financial advisors. Wealth planning allows you to leave behind a lasting and meaningful financial legacy after retirement and beyond.
There are many meaningful ways to leave a financial legacy for your children, grandchildren, charities and other causes. Here are five examples:
- – Leave a family or vacation home and personal belongings
- – Create a beneficiary IRA
- – Name a child as a beneficiary of an annuity
- – Use excess distributions for a second-to-death life insurance policy
- – Gift depreciating stock to charities
Wealth Planning Services at Minster Bank
Minster Bank’s Wealth Planning Service is a powerful, yet flexible approach that updates as a client’s needs or circumstances change with time.
Contact one of our financial advisors today for a no-cost, no-obligation consultation about your financial future.
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