Keeping Assets Under the Control of the Family is Important in Estate Planning

The bottom line in estate planning is the preservation of family wealth. Some families have children in very bad marriages and anticipate messy divorces. Some children are addicted to drugs, alcohol or even spending. Education is not going to impact these family situations. Estate planning lends itself to extremely specific customization so that it can reflect the needs and status of individual beneficiaries. Most kids grow into responsible adults with little or no knowledge about preservation of assets.

Parents who create a dynasty or generation-skipping tax trust (GSTT) and introduce their children to the advisors who helped them create this trust, are offering their kids a way to preserve assets from generation to generation. The children also have the option of closing the trust and making their own, independent decisions. However, leaving a structure for preservation of your assets and asking the children to discuss your reasoning will go a long way toward helping them retain assets, the overarching goal of most parents.