Wealth Planning on Your Own

Genevieve Signoret

(Hay una versión en español de este artículo aquí.)

Of course, we’re gung-ho about professional wealth planning. But it’s not for everyone. If it’s not for you, here are some tips for doing wealth planning on your own:

1. Start with values. Tell yourself, “Money is a just the means by which I can live my deepest values.” Then ask yourself what those values are. Take a piece of paper. Write the title “Wealth Plan” at the top and write down your values just beneath it.
2. Who is on your team? Usually it’s one or more family members, but if that doesn’t work, try your CPA or estate attorney.
3. Discuss with your planning partners how your financial governance should work: in making decisions, whom if anyone you should consult and for which decisions, who has the final say, and whom you should keep informed.
4. Prioritize two things: risk management (including ample liquidity) and the succession. In succession planning, above all, ensure family harmony after you’re gone.
5. With your family or discussion partner, set between one and three goals you want to aim at in the long term and make an action plan for the next 12 months to move you toward them.
6. Schedule periodic conversations with your planning partners to look at the plan and make individual commitments to keep you advancing.
7. Document decisions. Measure and document progress.
8. With your family or discussion partner, teach and learn finance.