Financial Planning, Succession and Inheritance
In the US, planning structures are supported by the economy, which offers options in practically all segments, i.e., the stock market, residential and commercial real estate products, as well as corporate solutions for those with a more entrepreneurial spirit.
In short, the range of high-performance products and opportunities will vary depending on each person’s goals and level of risk. As an example, we’ll briefly outline how Americans use these tools to their advantage.
Family Financial Planning
Structures such as insurance, retirement, investments, real estate, asset management companies, foundations and protection are part of the routine planning of Americans. The United States remains a “safe haven” for wealth accumulation for families from all over the world. It is a country that protects the final laws of the consumer, regardless of their origin.
Succession Planning
It is very common within American corporate structures to formalize an agreement between partners to define the succession and plan for the future in the event of premature death or disability of one of the partners. Planning the transfer to the heirs of a partner is one of the measures adopted to ensure the longevity of businesses. This is the example of Bill Gates, who took many years to plan his business succession, which he did in an extremely thoughtful manner.
On the other hand, when things are not planned properly, the financial impact of succession on a family is very large. Take the example of the Miami Dolphins family, who had to sell their stadium for 150 million to pay taxes to the government.
Estate Planning
In some countries, such as Brazil, the inheritance system dictates pre-established rules and, therefore, the distribution to the next generation may not be in accordance with the wishes of the deceased, much less of the beneficiaries.
In the United States, some financial instruments create pre-established percentages contractually, creating asset equalization among heirs. In this scenario, we highlight inheritance planning and transfer, which, if planned correctly, creates asset perpetuation, a concept called inheritance eternalization, which guarantees future generations the opportunity to enjoy the assets forever (Dynasty Trust).