Beyond Financial Planning: The Vital Importance of Life Care and Health Care Planning

Financial planning is just one piece of the puzzle for families of significant wealth when it comes to protecting and preserving their legacy. With a multi-family office lens, we emphasize that there are important considerations beyond asset allocations and managers. While maximizing your portfolio returns, managing investment risk, and taking advantage of tax efficiencies are certainly important, other critical aspects of planning are often overlooked, particularly life care planning and health care planning.

As we age, the potential for declining mental and physical capacity becomes an ever-present reality we must confront. Having a comprehensive life care plan in place can ensure you and your loved ones are prepared for any eventualities. A well-structured life care plan should account for your wishes and spell out how you want to be cared for, both medically and personally, should you become incapacitated. This should include considerations such as:

Life care planning involves considering quality-of-life preferences as well as ensuring ease and continuity in record-keeping and asset management. Establishing a clear system for tracking your financial accounts, property deeds, estate documents, and other important information can prevent undue hassle and confusion for loved ones. Consolidating complex assets and eliminating unnecessary redundancies is also valuable preparation. The merits of simplicity cannot be overstated.

Another critical piece of health care planning is to arrange to cover the rising medical costs associated with aging. From evaluating long-term care insurance to Medicaid planning strategies to setting aside funds for potential medical expenditures, thoughtful planning is key to maintaining your financial stability in the face of increasing healthcare costs. Options such as assisted living communities can be an adjunct or the better alternative to remaining in your residence with visiting care as necessary.

Ultimately, life care planning and health care planning are about respecting your values and dignity through every stage of life. With adequate forethought and guidance, you can craft a plan that reflects your individual needs while providing reassurance for your family. These preparations, in conjunction with prudent financial planning, comprise a strong foundation for multi-generational wealth preservation. Indeed, you are planning both for your welfare and the welfare of your children and extended family.

For families of significant wealth and complexity, life care planning and health care planning are wise ventures to ensure your legacy and quality of life are secured. Working with your team at Manchester Capital and other experienced professionals in these areas can be pivotal in comprehensive life and health care planning. With such support, you can age gracefully with confidence that your affairs are in order.

While it may not be as enjoyable as planning a dream vacation, organizing these details is one of the most valuable legacies you can give your family. Out of respect and love for them during an emotionally challenging transition, advance preparations provide them with a clear roadmap to follow. The key is having the plan comprehensively built, documented, and updated years in advance. Speak to your wealth advisor to get started.

Disclosures

This material is solely for informational purposes and shall not constitute a recommendation or offer to sell or a solicitation to buy securities. The opinions expressed herein represent the current, good faith views of the author at the time of publication and are provided for limited purposes, are not definitive investment advice, and should not be relied on as such. The information presented herein has been developed internally and/or obtained from sources believed to be reliable; however, neither the author nor Manchester Capital Management guarantee the accuracy, adequacy or completeness of such information. Predictions, opinions, and other information contained in this article are subject to change continually and without notice of any kind and may no longer be true after any date indicated. Any forward-looking predictions or statements speak only as of the date they are made, and the author and Manchester Capital assume no duty to and do not undertake to update forward-looking predictions or statements. Forward-looking predictions or statements are subject to numerous assumptions, risks and uncertainties, which change over time. Actual results could differ materially from those anticipated in forward-looking predictions or statements. As with any investment, there is the risk of loss.