Article on Wealth & Family Interdependencies

Stacy Allred & Matthew Wesley recently published an Article entitled, High-Net-Worth Families & Family Offices: Swimming Confidently in Dangerous Waters, Tr. & Est. (Dec. 2016). Provided below is a summary of the Article:

We’re in a new era of family interdependencies. In recent years, approximately 60 percent of Americans age 50 and older have provided financial assistance to members of their family, including adult children, parents, grandchildren, siblings or other relatives. This generosity runs through our culture, in which people place importance on helping family. 

Presently, many adult children and grandchildren are struggling with careers, tuition costs and a variety of other financial challenges. At the same time, large numbers of our clients simply don’t know how to say “no” to their kids and grandkids, nor are they comfortable setting boundaries or fair terms surrounding financial requests. There’s little proactive discussion about expectations and relative inattention to the development of both character and capacity among family members as they traverse these interdependencies. 

Navigating these choppy waters proactively requires a framework predicated on the premise that funds should enhance, not diminish, individual human potential and the health of human systems. Here’s a methodology involving a 3-step process designed to implement such a framework: cultivate intention, match methods to desired outcomes, and learn and adapt. 

If your clients are generous wealth holders, this model can help them develop an environment in which their financial resources nurture personal growth and development and foster healthy family dynamics.