Are you looking at a sudden, unexpected influx of asset? Whether you recently won a lottery or received a large personal injury settlement, transitioning from an average annual income to significant wealth requires careful planning.
For most people, the urge to splurge is overwhelming. However, uncontrolled spending can be financially disastrous. While the allure of a massive shopping spree is understandable, countless stories illustrate how quickly windfalls can vanish.
Instead, indulge in a decadent meal at a luxury restaurant and then go home and do some careful thinking. Treating yourself a little is natural and enjoyable, but avoid getting carried away. Resist making extravagant purchases until you understand what it means to have and protect wealth. You might be surprised by how much you can spend in a relatively short time.
Estate planning can open a path to wealth preservation
As you know, estate planning safeguards your financial assets and minimizes potential tax burdens on your beneficiaries. It also involves creating tools that complement rather than contradict one another to prevent financial loss (for example, through taxes) when addressing wealth preservation.
Another effective preservation tool is developing gifting tactics that help strategically reduce the size of your taxable estate. Remember, the annual and lifetime gift tax exclusions are adjusted each year. Implementing this estate planning strategy can save considerable sums.
Customization enhances protection
The important thing is to make sure that you get experienced estate planning and wealth preservation guidance. This can help you customize your options to help ensure that your entire estate plan continues to your assets and wealth.
