Whereas it could be uncomfortable for shoppers to consider their very own mortality, property planning is a necessary course of that helps to carry readability and luxury to individuals in any respect monetary ranges — and it’s the advisor’s job to reply shoppers’ questions and put them comfy.
Within the expertise of Courtney Fell, a wealth and property planning strategist at Morgan Stanley, the second half of 2023 represents a time of serious challenges and alternatives for shoppers with huge legacy planning targets.
In actual fact, as Fell instructed ThinkAdvisor in a current interview, main modifications within the property planning tax framework are on the horizon, and shoppers with substantial wealth that will likely be handed to charities and the subsequent technology have rather a lot at stake.
“Given the significance of superior planning, it’s shocking what number of shoppers haven’t engaged in satisfactory property planning,” Fell says. “One other frequent development is when shoppers have finished some primary property planning and gotten among the vital paperwork in place a few years in the past, however they haven’t thought of it since.”
Echoing the emotions of different property planning consultants, Fell says the legacy planning effort have to be an ongoing train. Similar to the trouble to steward a posh funding portfolio, legacy planning needs to be usually revisited, she says, particularly when tax legal guidelines are in flux.
Even when huge modifications to belief and property paperwork aren’t required, Fell explains, it’s nonetheless a helpful train to revisit and overview the legacy plan usually, as this ensures shoppers and their households have a transparent understanding of precisely the place they stand.
See the slide deck for six huge property planning issues raised by Fell. Whereas some are evergreen issues, others are time delicate and will require rapid motion by advisors and their shoppers.