What Role does Charitable Giving have in Estate Planning?
Why charitable giving? The Entrepreneurial spirit built this country and made it great. Our forefathers made “The American Dream” possible to everyone in this country, regardless of their background or social status. But many self-made men and women contribute heavily to charities.
Why are wealthy people prone to giving back?
The hard-working people of America have a vested interest in the economy and the well-being of those in need. They can relate because many started out that way themselves. Entrepreneurs who have gone from nothing to the pinnacle of financial success know the value of giving back. They undergo charitable giving regularly without needing the coercion of the government. Entrepreneurs, in kind terms, don’t appreciate government force and taxation in the name of charitable giving. They feel they can give more and make more of an impact on their own. Regardless, they do both, paying their taxes and giving to charities of their choosing.
What impact will inherited wealth have on my children?
Often we see a good man who has been a wise steward pass away and leave his fortune. His child or children who inherit dad’s fortune have done little to follow in their father’s footsteps. They tend to squander what they’ve received. When this happens, the child or children find themselves penniless and unprepared for the lifestyle left to them. They haven’t worked for anything in the past and end up bitter toward their lost parent.
Keep this from happening in your family. Encourage involvement in charitable giving. Let your children experience the satisfaction that comes from serving others. It will lead them to become happier, healthier people. They will be more inclined to take what you have shown them and follow in your footsteps.