This involves planning for the next generation. As your wealth management partners it's not only our job to make sure your wealth is invested wisely and securely, but that your assets are protected for the next generation too. Madison Asset Management Company’s wealth management department can help you safe guard your legacy.
What is a Will
A will, also known as a Last Will and Testament, is a legally enforceable declaration that outlines what is to happen to an individual's property or assets in the event of their demise.
Purpose of a will?
A final will and testament is a necessary document for anyone who wishes to decide what happens to his or her assets after death
While no one plans to die, death is inevitable and it is better to prepare well in advance for this unavoidable eventuality. Reasons to execute a will and testament include:
- Choosing who you would like to benefit from your estate.
- Protecting the interests of minor beneficiaries.
- Nominating guardians for your minor beneficiaries.
- Nominating an executor or trustees of your choice.
Regardless of your age, financial well-being or health, a last will and testament is an important document to have for any adult. As you age and your financial status changes, you can update your document to reflect your present situation. The bottom line is simple; death is a part of everyone's life, not just the elderly or infirm. Being prepared for the inevitable will take the stress and the burden off your family's shoulders.
What is a Trust?
A Trust is a Legal entity created by a party (the trustor) through which a second party (the trustee) holds the right to manage the trustor's assets or property for the benefit of a third party (the beneficiary).
Purpose of a Trust?
There are many reasons why you may choose to have a trust as part of your estate plan. These include:
- Put conditions on how and when your assets are distributed after you die
- Avoiding probate (court process that transfers ownership of your assets to your beneficiaries after you die)
- Reduce estate and gift taxes;
- Distribute assets to heirs efficiently without the cost, delay and publicity of probate court.
- Better protect your assets from creditors and lawsuits;
- Name a successor trustee, who not only manages your trust after you die, but is empowered to manage the trust assets if you become unable to do so.
There is more to estate planning than deciding how to divide up your assets when you die. It's also about making certain that your family members and other beneficiaries are provided for, and have access to, your assets upon your temporary or permanent incapacity. A will is a great start, but many it may not cover the full depth of your assets and estate planning. Therefore it important to plan for all contingencies.