Only 56 percent of American retirees have plans to leave their children an inheritance. Several factors are attributing to this, including the fact that you may give your money to your children before you pass away.
Regardless of if you fall into this 56 percent or not, you may want to know what you can do now to help secure your retirement and even provide for your family after you pass. Keep in mind, though, your legacy is much more than just the money you leave behind. As a result, you have to consider the bigger picture, too, when planning your legacy.
The Making of a Legacy
The legacy you leave behind, financially speaking and in every other way, isn’t ever accidental. It’s the results of your actions throughout your life. To leave a positive legacy, it requires focus, effort, and planning.
Part of this planning involves putting back 15 percent of your income for treatment. Another part is developing a family banking strategy to minimize debt while securing a healthy financial future.
As you are moving through your life, you have to keep an “eye on the prize.” This involves building wealth and giving. After all, you don’t want to be remembered just for the money you made or gave.
Even if you are single, with no spouse or children, you need to approach savings and money in a way that you could leave a legacy. Think of your nieces and nephews whose lives you can change because you left an inheritance.
Creating Your Legacy Plan
If you have been dedicated to setting back part of your income throughout the years and paid off debt properly, you may feel good about what you have to leave behind. However, if you don’t make this official, your legacy may get lost in court systems after you pass away.
In addition to having a legal estate plan and will created, you don’t need to leave any surprises when it comes to your financial liabilities. Make sure to share information about your automatic bill payments, loans, and mortgages with your family, or, at the very least, your legal representatives.
The last thing you want to do is leave your family in a position where they have to clean up all of your financial liabilities. By being transparent, you can ensure they know what payments need to be made and when.
It’s Your Money but What’s Your Legacy?
Some believe that it’s only the very wealthy that can leave a legacy. However, this isn’t the case. If you are careful with your money throughout your life and make the proper plans, you, too, can leave a legacy that your family will appreciate.
Remember, there are many cases where you won’t be able to do this alone. As a result, it may be a good idea to read more or speak with a professional about what to do.