Transfer of Power/Transfer of Wealth
Transfer of Power
Today, the world will witnessed the inauguration of our 45th President of the United States – Donald John Trump. The ceremony will be held on the West Front of the U.S. Capitol Building in Washington, DC and it will conclude an incredible transfer of power that began on Election Day back in November.
At noon, eastern standard time, the presidential oath of office will be administered to Trump by Chief Justice John Roberts and with this oath, the transfer will be complete.
Transfer of Wealth
Last year – and to much less fanfare – was the start to the biggest wealth transfer in history from one generation to the next. With the oldest baby boomer turning 71 this year (and the youngest is now 53), over the next 30 years we will see trillions of dollars passed to the hands of a younger generation.
In fact, according to the Wealth-X and NFP Family Wealth Transfers Report, the next 30 years will see:
Approximately $16 trillion of wealth passed on to the next generation around the world
$6 trillion set to change hands in the United States alone
In the vast majority of cases, heirs will change financial advisors
So, as you watch the 2017 Presidential Inauguration ask yourself whether the transfer of power or transfer of wealth will have more of an impact on you. Then ask yourself which will be more impactful to you.
Start asking yourself questions like:
Have I communicated effectively with my spouse about financial matters?
Do my spouse and I share our financial goals and desires? Where do we differ?
Do I involve my children in our financial planning discussions?
Do my children receive duplicate statements?
Have I established a content cadence to routinely communicate with my children?
Is my advisor communicating with my children?
Will my advisor be there to help my children navigate my legacy?
“The single biggest problem in communication is the illusion that it has taken place.” ~George Bernard Shaw