2 Conversations About Money and Death You Need to Have With Your Parents Right Now
As an attorney here in Greenville, SC, I understand that contemplating estate planning often brings to mind the reality of mortality. However, it's crucial to recognize that there are compelling reasons – and substantial benefits – to engage in this process while you're still in good health. This is what I refer to as Life & Legacy Planning. When approached thoughtfully, planning for the distribution of your assets and the management of your affairs after your passing is something that should commence without delay, through transparent and honest conversations within your family circle.
The initial step involves candid discussions with your parents, siblings, and children regarding the vision you hold for your family's future, how you wish your assets to be handled, and the kind of care each family member desires in the event of serious illness or incapacity.
While you may have already broached the subject of estate planning with your family, I urge you to delve deeper into these conversations. Here are two pivotal conversations you should have immediately to gain a comprehensive understanding of your family's financial landscape and to chart a secure course for the future.
Conversation #1: Identifying Your Family's Assets.
Start by asking fundamental questions of your parents and elder family members: "What assets do we possess? Where are they located? And how would I access them if you were no longer able to guide me?"
The risk to your family's wealth in the event of a passing is intricately linked to the expenses incurred. Beyond the visible costs of funerals and end-of-life medical care lie numerous unseen expenditures. Unclaimed assets, totaling approximately $70 billion across various departments in the U.S., often go unnoticed due to a lack of awareness among family members regarding their location or existence.
To safeguard your family's wealth, it's imperative to track and document assets, including digital assets like cryptocurrencies, before incapacity or death occur. While discussing this topic with your family may seem daunting, the manner in which you approach it can make all the difference. Building trust among family members is paramount, overcoming barriers such as secrecy or fears of appearing “greedy.”
For younger generations, fostering trust involves understanding the root causes of distrust and adopting a mature, compassionate outlook for the greater familial good. Similarly, older generations can nurture trust by acknowledging past parenting shortcomings and expressing confidence in the responsible individuals their children have become.
Although navigating these challenges may seem daunting, the rewards of fostering trust and initiating this crucial conversation are immeasurable. Use this opportunity to compile a comprehensive inventory of your family's assets and access permissions. Should you require assistance with this task, our firm stands ready to help create a clear roadmap for the protection of your assets in times of adversity.
Conversation #2: Outlining Long-Term Care Preferences
The second conversation you must have with your parents pertains to long-term care planning. This discussion transcends financial considerations, delving into the emotional intricacies of care provision. Questions concerning who will provide care, how it will be administered, and the potential impact on loved ones must be addressed.
While financial matters can serve as a less vulnerable entry point into this conversation, the core revolves around personal care. Addressing concerns such as, "Who will care for me? How will my needs be met? Will I become a burden on my loved ones?" requires a level of vulnerability beyond financial considerations.
Neglecting this dialogue can leave crucial decisions in the hands of the medical system, often resulting in unfavorable outcomes and escalating costs. Engaging in discussions about long-term care facilitates clarity on preferences, funding, and strategies to mitigate unforeseen care expenses.
Let Us Facilitate the Discussion
If initiating these conversations feels daunting, our firm is here to assist. As your trusted Personal Family Lawyer®, we specialize in cultivating personal relationships with our clients and their families. We can guide you through difficult discussions and address tough questions about your family's assets and wishes.
It all begins with a Life & Legacy Planning Session™, where we comprehensively assess your assets and loved ones to identify any security gaps and devise a plan that ensures your wishes are honored in the event of death or incapacity.