If you haven’t watched HBO’s series “Succession” yet, it revolves around a family that owns a media conglomerate. The show delves into the power struggles among family members as they vie for control of the family business while also grappling with their patriarch’s failing health. These themes resonate with the everyday challenges we’ve seen at Santa Barbara Fiduciary. In an effort to help you avoid a similar dramatic scenario in your own life, here are five tips to help reduce the potential for conflicts, disputes, and factions in your planning—strategies that can work for you too!
- Seek Professional Help
The importance of seeking professional help tops this list because it is the single best piece of advice we can provide. A qualified financial advisor, professional fiduciary, or estate planning attorney (or, ideally, all three!) can you help you identify and navigate the complexities of estate planning—just as they have done for many families before. Building your estate plan does not require you to reinvent the wheel, and plenty of resources exist to prevent you from having to do so.
- Make Sure Your Plan Says What You Think It Says
There’s no one-size-fits-all solution in estate planning; your plan should be tailored to your unique needs. While some standard language may be used, it’s crucial to avoid conflicting or unclear terms. We review clients’ plans to identify problematic language, restrictions, or (altogether) missing terms. It is vital to bear in mind that once your plan takes effect, you will be unable to provide clarifications personally. The responsibility for interpreting your intentions will rest upon your designated agent or possibly the courts. By meticulously examining your plan now, you can help ensure a smooth administration in the future.
- Remember: Uneven Doesn’t Mean Unfair
It is not just fair, but normal for one family member to receive more assets than another. This may happen when, for instance, one of your children takes a more active role in the family business—or is more involved in caretaking— than the others. In such cases, however, communication is key. Explain your reasoning behind these decisions well in advance, allowing your heirs to understand your perspective and minimize potential misunderstandings.
- Talk It Out
Open and honest conversations are paramount in estate planning. Initiate discussions with your family members about the distribution of assets, addressing any concerns or questions they may have. A professional fiduciary can be invaluable in facilitating these conversations, acting as neutral third parties who ensure that everyone’s viewpoints are heard and understood. This proactive approach can significantly reduce the likelihood of future conflicts.
- Hire a Professional Fiduciary
Hiring a professional fiduciary goes beyond facilitating communication. They offer personalized, professional services and can serve as your Trustee, Agent Under Financial Power of Attorney, or Executor of your Will. By appointing a professional fiduciary to these roles, you minimize the chances of conflicts arising among family members. Moreover, their expertise and availability in handling financial and legal matters, adaptability to changing circumstances, and fiduciary duty to act in your best interests provide an added layer of security.
“Succession” serves as a compelling reminder of the importance of good estate planning. Estate planning is a minefield and not just because it involves navigating intricate legal rules, making financial decisions, and your legacy. Families are complex, money is a touchy subject, the prospect of your passing inevitably heightens tension, and—in addition to all this—your loved ones live busy lives rife with their own complexities.
Don’t let your estate planning turn into a real-life “Succession” drama. Contact us today to ensure a secure and harmonious estate planning journey for yourself and loved ones.
Contact Santa Barbara Fiduciary
Santa Barbara Fiduciary can help you and your family navigate successor fiduciary appointment decisions, and ensure the diligent implementation of your or your loved one’s estate plan. Contact us today to learn more about our services, and how we can help you and your loved ones navigate life transitions.
