Ada-Icon
Required
What Is Your Goal for Heirs?

What Is Your Goal for Heirs?

Many clients want to leave a legacy, not just save for a comfortable retirement.

If you ask most people what their most valuable assets are, they usually say their homes, or their jobs. However, if you ask them to think about it a little more, the answers change and become more focused on people and relationships. As couples and individuals work to generate assets for their retirement and enjoyment, they start to think about the kind of legacy they want to pass to their heirs, says Think Advisor in the article “Annuities and Heirs.”

For many, the ability to leave loved ones with significant financial support is a top priority. This requires good estate planning.

Estate planning can be complex, and the laws do change. Understanding how legacy planning aligns with retirement planning is an important concept.

How do you successfully transfer wealth to the next generation?

The most common approach is to have no strategy at all. This never works well, and usually leads to an expensive estate administrative process, legal battles between heirs, high taxes and the likelihood that the inheritance will evaporate rapidly.

One legacy transfer strategy involves the use of annuities. Because these contracts come in all shapes and sizes, it’s important to understand how these investments work. Annuities purchased for wealth transfer can be set up as income streams to children or grandchildren, especially if they have stretch capabilities. Some annuities allow for greater access to principal than others, and many are designed specifically for wealth legacy planning.

Some of the control levels include:

  • Beneficiaries may choose the method of payout, from a lump sum to various withdrawal strategies.
  • A portion may be paid as a lump sum and the remainder offers a few withdrawal choices.
  • A lifetime stream of distributions is set up for a beneficiary, based solely on the client’s direction.
  • The lifetime distribution is in effect, but if the owner wants to make a change, they can be rescinded. This can only be done with certain annuities. With many annuities, once it is set, there are no changes permitted.

Talk with your elder law attorney about the kind of legacy you wish to create for your heirs, and what methods and tools they believe will accomplish your goals.

Reference: Think Advisor (Aug. 6, 2019) “Annuities and Heirs”

Hear From Our Clients
tes-prev
tes-next

“On the threshold of retirement, we finally decided to quit thinking we could self-prepare the requisite documents. We had previously had only a very simple will. We needed the necessary legal (including updated will) & health care docs but didn’t want to deal with the time & complication of legalese. Cindy made the process relatively painless. She took the time to explain and answer questions without trying to upsell services. We were done in 2 meetings plus the reading of emailed drafts. In addition to preparing the documents, Nelson Eldercare will be there when our adult children need advice on executing the plans we’ve put in place.So glad it’s behind us and would recommend Cindy and her helpful staff.”

- Bonnie

Cindy and her company treat their clients like family. Nelson’s offers clear, direct, and honest guidance in planning for your families security and future. No one wants to actively sit down and make these decisions, but Nelson’s makes this process seamless. I was so impressed with their willingness to answer all questions big or small. So glad I made the decision have them help my mom and dad and now me. You can’t go wrong with Nelson’s Elder Care Law.

- Hope

The very best elder law attorney and staff anyone could ever ask for! I have referred a number of clients to Cindy and she never disappoints. She is kind, caring, and extremely thorough in making sure everything is completed as it should be. I highly recommend Cindy for anyone needing lawyer services; she truly goes above and beyond for every client she helps and has had a huge impact in so many peoples’ lives. Thank you, Cindy and staff, for everything that you do- I’m so glad to know you!

- Kerri

I heard Cindy’s presentation at a Senior Luncheon at my church, and was very impressed. She helped my daughter and me understand many aspects of elder law. Josh has also been very helpful in my planning to enter an independent living situation . I have told many friends about them.

- Charlotte

Cindy and the Nelson Elder Care Law team are trustworthy and helpful. They are the experts in elder care law. At Leaf Cremation, we entrust our families to the care of the Nelson team when their services are needed.

- Pierce