This is the “soft” side of succession planning, but it’s also at the core of what your legacy is about, therefore it must be an integral part of your financial plan. Consider the example of a trust created for your adult children and your adolescent grandchildren. First, it’s worth establishing your overall goal: Is the plan to provide them with a lump sum of money at a specific time, or allow them discretionary access to funds with a cap each month or year? Or would you prefer a trust system that allows your children and their children to request funding for specific purposes, such as for healthcare needs, down payments on their homes, or to help put your grandchildren through college? Moreover, what (if any) stipulations would you include? For example, you might require that your children have steady and gainful employment before
they can access funds. Or you might create provisions for emergencies. No matter the approach, it’s worth creating a well-designed trust, crafted from the ground up to meet your needs and cover foreseeable circumstances—along with leaving room for additional stipulations or modifications, as needed. Taking the first step The first step in establishing your legacy? Mapping out a detailed plan to sell your business and find a successor. But this is just the beginning. To ensure the legacy you leave is the one you want—both for yourself and your family—it’s critical to avoid common missteps and make sure you’ve got the right people in place to help you achieve your legacy goals.
You can find more content like this at www.calbanktrust.com/blog
It’s worth creating a well-designed trust, crafted from the ground up to meet your needs and cover foreseeable circumstances—along with leaving room for additional stipulations or modifications, as needed.
Disclosure The information contained herein may not represent the views and opinions of California Bank & Trust, a division of Zions Bancorporation, N.A. or its affiliates. It is presented for general informational purposes only and does not constitute tax, legal or business advice.
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IN YOUR CORNER ISSUE 13 | 2023
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