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Tag: Financial Advisor

What are the Final Estate Questions You Should Ask?

“Tis impossible to be sure of anything but Death and Taxes,” wrote Christopher Bullock in his 1716 book, The Cobler of Preston.

Putting your estate in order will ensure your assets go to your appointed heirs as opposed to the government determining where they will go.

Immediately following the death of a loved one, emotions generally run high, which can lead to confusion and chaos. Delaying making estate planning arrangements may cause unnecessary hardship and grieving survivors to lose portions of their inheritance in probate.

When the inevitable happens and your estate is not in order, circumstances can turn sour. Proper management of your estate may provide you with peace of mind now and give your family the security to manage their future in your absence.

Where is the paperwork?

You obtained life insurance to protect your family and to take care of family members’ needs. You may have arranged your investments and other financial accounts to help your loved ones live more secure futures.

Obviously, if something were to happen to you, your family would need access to your accounts and your documents. They would need to know where to go, what to do, and how to obtain the necessary information.

Prepare now for your family’s future by storing your financial information and your legal documents in a safe place. Inform designated loved ones where and how to access login information and passwords to online accounts.

Here’s a checklist:

  • Do you have a will?
  • Where do you keep it?
  • Where are your health-care documents?
  • What about your other financial paperwork?
  • Are the beneficiary forms accessible?
  • Is your life insurance adequate and is it the appropriate type?
  • Have you made arrangements to cover your estate taxes or other potential fees?
  • Do you have a written letter of instruction?

What about your memorial service?

Discuss with your family the type of memorial service you’d like to have. Ideally, you’d like one that suits your personality and reflects your life.

While the idea of talking about your funeral may seem uncomfortable, once finished, most families find these types of discussions comforting and reassuring.

Here are some planning tips to help you find the best funeral services for your circumstances:

  • Compare prices.
  • Get a quote. Funeral homes are required by law to provide written price information.
  • Resist the temptation—or the sales pitch—to buy services you don’t need.
  • Don’t let your emotions lead you to overspending.
  • Know your rights. States’ legal requirements vary.
  • Shop for memorial services in the same manner as you would with other major purchases.
  • Plan ahead, which allows you to comparison shop.

Where can you find help?

Financial professionals can provide you with insight, guidance, and information to help you overcome the obstacles and challenges that you may confront as you develop one of the most important plans in your life. While most financial professionals are not attorneys, they do work closely with experienced legal and tax professionals to give you the peace of mind to ensure your end-of-life concerns are put in order.

If you have financial questions or are making estate preparations, call us today at 800.929.1001!

Investment advisory services are offered through CapSouth Partners, Inc., dba CapSouth Wealth Management, an independent registered Investment Advisory firm. Information provided by sources deemed to be reliable. CapSouth does not guarantee the accuracy or completeness of the information.  This material has been prepared for planning purposes only and is not intended as specific tax or legal advice.  Tax and legal laws are often complex and frequently change.  Please consult your tax or legal advisor to discuss your specific situation before making any decisions that may have tax or legal consequences.

This article contains external links to third party content (content hosted on sites unaffiliated with CapSouth Partners). The policies and procedures governing these third party sites may differ from those effective on the CapSouth company website, as outlined in these Disclaimers. As such, CapSouth makes no representations whatsoever regarding any third party content/sites that may be accessible directly or indirectly from the CapSouth website. Linking to these third party sites in no way implies an endorsement or affiliation of any kind between CapSouth and any third party, including legal authorization to use any trademark, trade name, logo, or copyrighted materials belonging to either entity.

Teach Your Grandchildren Important Lessons About Money

You may have dealt with money for more than half a century. You understand hard work, following a budget, saving money, and spending wisely. You possess a wealth of financial wisdom—at least in comparison to your grandchildren.

As a grandparent, you can provide your grandchildren with sound, sage advice. Will they accept and heed it? Yes, researchers say. In fact, a survey of more than 1,000 young adults found that most (85%) were receptive to financial discussions with their grandparents.[i] However, just 8% of grandparents said they actually talk with their grandchildren about finances.

Nearly a third of grandparents said they thought they could influence their grandchildren’s financial decisions. The study also indicated grandparents are able to shape grandchildren’s decisions more than grandparents realize. Nearly three-quarters of grandchildren said their grandparents’ financial advice would influence how they save and spend money.

So, how do you do it? How do you talk to your grandchildren about money? Here are several ways to engage in fruitful discussions:[ii]

Just say no to gifts (sometimes).

Giving gifts or investing in college funds is nice and may provide the catalyst for a bright future. But when money is tight, often the best approach is talking about the value of money. Discussions help develop the sense of money’s value and a good work ethic in your grandchildren. Moreover, you may “hire” your grandchildren to do chores or household projects; you can then pay them an hourly wage for the work, like they do it in the real world.

Story time: “In my day…”

You first must determine whether you have a captive audience. If your grandchildren are interested, tell them stories about how you earned money as a teenager, how you paid for your school, and how you saved money. If your audience’s attention doesn’t waver or wane, you can segue into goal setting and saving money for college. You may also delve into the difference between what they need and what they want.

Go to the store.

This would be a good time to discuss history. You can explain how prices have gone up on products and how selections have changed. A loaf of bread, for example, cost 25 cents in 1970.[iii] A pound of hamburger meat cost 45 cents in 1960. Those types of discussions give children a wider perspective on the role and value of money in our lives.

Go high tech.

Grandparents who live a ways from their grandchildren can use video chatting or other methods to keep in touch. This will enable you to keep the conversation alive and to continue conveying your wisdom.

Serve as an example.

Maybe having a conversation isn’t the best approach or it’s not the right time. However, grandparents’ life stories can provide compelling lessons on the value of money and responsible financial management. Your story—in a family novel, at family gatherings, in other settings, or through other formats—may serve as powerful lessons later in your grandchildren’s lives. Parts of your story may include getting your first job, your first car, or even your house. After all, the most important legacy you can leave to your grandchildren resides in your heart, not your bank account.

If you have any questions about money management or would like help reviewing your financial strategy, give us a call at 800.929.1001. We’re happy to talk. Visit our website here.

Investment advisory services are offered through CapSouth Partners, Inc., dba CapSouth Wealth Management, an independent registered Investment Advisory firm. Information provided by sources deemed to be reliable. CapSouth does not guarantee the accuracy or completeness of the information.  This material has been prepared for planning purposes only and is not intended as specific tax or legal advice.  Tax and legal laws are often complex and frequently change.  Please consult your tax or legal advisor to discuss your specific situation before making any decisions that may have tax or legal consequences.

This article contains external links to third party content (content hosted on sites unaffiliated with CapSouth Partners). The policies and procedures governing these third party sites may differ from those effective on the CapSouth company website, as outlined in these Disclaimers. As such, CapSouth makes no representations whatsoever regarding any third party content/sites that may be accessible directly or indirectly from the CapSouth website. Linking to these third party sites in no way implies an endorsement or affiliation of any kind between CapSouth and any third party, including legal authorization to use any trademark, trade name, logo, or copyrighted materials belonging to either entity.

[i] https://www.tiaa.org/public/about-tiaa/news-press/press-releases/pressrelease512.html

[ii] https://money.usnews.com/money/personal-finance/articles/2014/09/24/grandparents-talk-to-your-grandchildren-about-money

[iii] http://www.thepeoplehistory.com/70yearsofpricechange.html

Monitor Household Finances with Monthly Meetings

Monitor Your Household Finances with Monthly Meetings

Communication is the process through which we transfer information to each other. Although modern forms of communication have increased (emails, texts, letters, social media), connecting with each other is still at the foundation of our humanity. We just have to talk.

Family communication, in particular, molds us together in profound and lasting ways. Without it, the family would inevitably disintegrate.

Communications simple secrets

Effective family communication requires every member to pay attention to what others are saying, how they’re saying it, and to identify the feelings behind words and gestures.[i] Genuine listening is the most overlooked aspect of good communication. It’s the part that makes communication two-way.

Talking about money

Every household has a budget of sorts. It may be a rigid, tightly structured, highly detailed plan or a more carefree, open-ended, and vague financial construct that gets little oversight or review. Or, more likely, it’s something somewhere in between. While budgets or financial strategies are often assembled based on personalities and preferences, they do require mutual input from family members.

An appropriate division of labor that designates who manages the budget or who pays the bills is important. But an arrangement where one partner or family member oversees the finances while the others are kept in the dark is unproductive and unhealthy.

Communication (and consensus) is necessary to bring vitality and direction to families and finances.

While simply discussing family finances is good, budget meetings become even more effective when they’re done with regularity. Holding monthly (or more frequent) meetings will help coalesce your visions and shape the goals of your family.

Here are nine steps for a successful family financial meeting:[ii]

  1. Schedule it. Put the meeting on your calendar. It should not be spontaneous. Hold it at a mutually convenient and appropriate time.
  2. Set the timer. You’re not running a marathon or a congressional hearing. Make it short—30 minutes or so—and sweet.
  3. Eliminate distractions. Turn off the TV. Put your phone away. Make sure the chores are done. Make your meeting an investment of time.
  4. Include some delicious distractions. We’re talking snacks, which make meetings more enticing.
  5. Go prepared. Bring pens, papers, or whatever other tools you’ll need to develop and monitor your family budget and finances. You can use online budgeting tools or apps.
  6. Order in the court. Or the budget meeting. Follow a progressive meeting plan, such as listing income first. Then proceed by dividing and segmenting money into individual categories: donations, utilities, debt, fun stuff.
  7. Allow for objections. You’re trying to create a team plan to financial management. You may have other priorities and preferences than other participants in the meetings. Discuss them and reach an agreement. Find ways to compromise.
  8. Watch the clock. If you’re having trouble or facing challenges, consider addressing contentious matters at another meeting. Stick to your allotted time.
  9. Rules of engagement. Budgets are wonderful tools to reach your goal, but without a way to track spending, it’s just a piece of paper or online platform. Put your budget to work for you by making sure you plug in income and spending numbers regularly and consistently.

If you would like to discuss your current financial plans or budgeting strategies, please contact us at (800) 929-1001 or visit our website.

Investment advisory services are offered through CapSouth Partners, Inc., dba CapSouth Wealth Management, an independent registered Investment Advisory firm. Information provided by sources deemed to be reliable. CapSouth does not guarantee the accuracy or completeness of the information.  This material has been prepared for planning purposes only and is not intended as specific tax or legal advice.  Tax and legal laws are often complex and frequently change.  Please consult your tax or legal advisor to discuss your specific situation before making any decisions that may have tax or legal consequences.

This article contains external links to third party content (content hosted on sites unaffiliated with CapSouth Partners). The policies and procedures governing these third party sites may differ from those effective on the CapSouth company website, as outlined in these Disclaimers. As such, CapSouth makes no representations whatsoever regarding any third party content/sites that may be accessible directly or indirectly from the CapSouth website. Linking to these third party sites in no way implies an endorsement or affiliation of any kind between CapSouth and any third party, including legal authorization to use any trademark, trade name, logo, or copyrighted materials belonging to either entity.

[i] https://pubs.ext.vt.edu/350/350-092/350-092.html

[ii] https://www.daveramsey.com/blog/how-to-have-a-family-budget-meeting

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