This is why it is important to do legacy planning, no matter your wealth vastness. A legacy is the assets and material possessions that you leave behind and by leaving a legacy, you can have your assets distributed to your beneficiaries in a way that you prefer. When you pass on, it will inevitably affect your loved ones as they may no longer have the income to sustain a certain type of lifestyle or pay the bills. By leaving behind a legacy, you are ensuring that they are well taken care of.
The most important component of leaving a legacy is to write a will. By creating a will, you can detail how you wish to divide up your assets. It can also contain instructions or conditions that must be fulfilled before your beneficiaries can gain access to their share. When getting a will drafted, there are certain documents that need to be prepared, including the list of testator, beneficiaries (this could be your family members or even an organisation), executors and guardians.
You should also list down all your assets that are valuable or items that carry sentimental value. Some of these assets include your property, car ownership, cash, investments portfolios, insurance policies, CPF, valuable possessions such as jewellery, art pieces or antiques and intellectual properties, if any.
Aside from writing a will, there are certain aspects that you need to consider as well as not all assets can be distributed via the will. One of these includes making a CPF nomination on who to inherit your CPF savings. It is also wise to speak to your insurance agent to nominate beneficiaries for your insurance policies, especially the ones with death benefits, whereby the payouts can be distributed sooner if necessary.
There’s a common misconception that you should only plan your will when you are old and have accumulated a certain amount of wealth, but such is not true. It is best to start planning early, and you can always revise the will according to life changes and while you are of sound mind. By doing this, you can safeguard your loved ones future.
Legacy planning may not be as tedious a process as you think. You may approach a lawyer or more commonly nowadays, a financial advisor. At EVOL, our financial planner and will writers can help you to plan your legacy according to your wishes. EVOL is truly a one-stop financial planner firm that creates valuable and meaningful life planning for our clients. It’s not just about what you have now, but also about what you can do for your loved ones when you are no longer around.