Financial advice: Building wealth for the next generation
For many investors, one of the most important financial ambitions is to effectively build wealth for the next generation.
But how can this be achieved?
The answer is simple – with an expert financial adviser.
Read on to learn how financial advice can help you secure your children’s financial future.
Unique guidance for your situation
Your financial adviser can offer you guidance on how to approach your specific financial situation, so you have focused and accurate advice.
They will take the time to discuss every aspect of your circumstance – which can include a full analysis of your income, understanding how many financial dependents you have, and what goals you have for your children’s wealth.
This can allow your adviser to tailor their recommendations to your situation, as every investor will have different requirements that need a unique approach.
Also, if you have any concerns or challenges surrounding building wealth for the next generation, your adviser can address these clearly, and make sure you have specific steps to help overcome these obstacles.
This can not only help you achieve a successful outcome for your children’s finances, but also help restore your own financial confidence.
Managing your investments
Another reason to seek support from a financial adviser for building your children’s wealth is that they can help you manage your investments effectively.
Your expert can offer advice on how a junior investment account could help grow your children’s finances.
For example, you could invest in a Junior Individual Savings Account (JISA), which lets you save a certain amount of money each year, sheltered from tax. This amount – the JISA allowance – is set at £9,000, as of the current tax year 2023/2024.
Your adviser can help you make the right contributions throughout the year, which best align with your financial circumstance. This way, you can build your children’s wealth for the future in a realistic way.
Planning for the future
With an expert adviser, you can begin planning for the future and devising ways to effectively secure your family’s wealth. For instance, this could be through leaving an inheritance for when you pass away.
This allows you to leave behind your estate to your loved ones, which can include various assets – cash, investments, property, antique items, etc.
Your adviser can help you plan your inheritance to be as sheltered from Inheritance Tax (IHT) as possible. This could involve making the most of your IHT threshold – set at £325,000 – which allows you to leave a value of your estate up to this amount, tax-free.
Also, your adviser could guide you on how best to leave property to your children, which can increase your IHT threshold to £500,000.
By preparing early for these things with your adviser, you can help build more wealth resilience for your children.
Tracking your family’s wealth
If you’re looking to build wealth for the next generation, one of the most important processes is being able to track this wealth.
Your adviser can give you access to a range of powerful online tools, designed to help monitor, control, and review your family’s wealth.
For one, any investments you have can be gathered and managed from a singular platform, giving you complete visibility over how your family’s wealth is being built.
As well as this, when planning things like contributions towards your JISAs, you can use these tools to adjust certain variables, such as amounts and times of contributions, to see how this could impact your wealth.
With these tools in place, you can ensure your family’s wealth is being built and protected in the way that best suits your financial situation.
—
Now you know the true importance of financial advice when it comes to your children’s wealth, why not seek your own adviser, to begin securing finances for the next generation?
—
Please note, the value of your investments can go down as well as up.
