When we think of vast family wealth, most of us know the name Cornelius Vanderbilt, the railroad and shipping scion of one of the richest families in America in the 19th century. When he died in 1877, he left a fortune of $100 million — more than the U.S. Treasury held at the time.

That massive fortune — which would be more than $200 billion in today’s dollars — has been gone for over 40 years. It did not survive past three generations, primarily due to mismanagement of successive generations of heirs.

With this anecdote in mind, there are lessons to be learned about preparing one’s heirs to receive an inheritance and teaching them to  protect and grow that inheritance. Here are some tips:

SHARE YOUR VISION

Conduct a family roundtable where the heads of the family come together with everyone and share their hopes and dreams for the family, as well as how they plan to reach their goals for the future. The idea is to start an open multi-generational dialogue.

TELL YOUR STORY

To help younger generations understand the importance of protecting and growing inherited wealth, it helps if they first understand the values and visions of their predecessors. Sharing family memories, experiences and life lessons from older generations is a  key component to ensuring the family story continues on.

RECORD YOUR STORY

Your lasting legacy should be much more than just money; it should also be about those valuable intangibles that make your family unique, told through your insights, values and experience. We do this through our Family Care Program, helping you capture and pass on your own story and your aspirations for your loved ones through a special recording.

GATHER TOGETHER

Annual family retreats or gatherings around holidays also help solidify family values and nurture common goals. Consider holding an annual retreat where multiple generations can gather to make plans for the future and renew family harmony.

This article is a service of Simpson Law Firm. We do not just draft documents; we ensure you make informed and empowered decisions about life and death for yourself and the people you love. We offer an Estate Planning session, during which you will get more financially organized than you’ve ever been before and we will assist you in making all the best choices for the people you love. You can begin by contacting us here, https://simpsonestatelaw.com/contact-us or calling us at 803-764-9555, and one of our friendly intake specialists will help you set up your consultation.