SELF-QUIZ: HOW DO YOU RATE AS A MONEY MANAGER?

By John Ingrisano

Smart money management is crucial… especially during these economically challenging times. It is important to monitor how you spend your money.   

Take the following self-quiz,  taken from The Back to Basics Book of Money!  A Couple’s Guide to Financial Peace.  Then see how effectively you are managing your resources:

• Am I reluctant to sit down to pay bills?  Worse, do I ever get behind on my bills?  This is a telling sign of financial stress, and a clear indication that you may be living beyond your means.
•  Do I ever borrow money to pay bills?  Once again, this is a danger sign that you are living beyond your means…and on borrowed time.
• Do I use credit cards for routine purchases?  This makes it too easy to overspend, especially on things you simply do not need.  Best rule of thumb:  If you can’t afford to pay cash, you can’t afford to buy it.
•  Do I count on overtime or income from my and/or my spouse’s second job to make ends meet?  The answer is not always more money, but managing what you have more effectively.
• Do I spend every cent I earn and save little or nothing on a regular basis?  If you are living on the edge, it is only a matter of time before some big (or even small) emergency pushes you into a financial crisis.  Set up an emergency fund. Spend the next year building it up to the equivalent of at least one month of income (three would be even better). 
• Do I make unplanned withdrawals from my savings or checking account or go to the ATM whenever I need cash?  If you pull out just $20 a week more than you’d planned, that’s more than $1,000 a year in unscheduled withdrawals. It adds up.
• Do I consistently come up short the day before payday or race to the bank to cover checks I wrote the day before?  In addition to incurring overdraft fees, a few stumbles and your credit rating will begin to take a dive as well. 
•  Do I make purchases of $50 or more on impulse?  A good rule of thumb:  Learn to avoid all impulse buys.  Give yourself 24 hours to mull it over.  This avoids wasting money and suffering the guilt of buyers’ remorse. 
• Do I fail to keep accurate financial records or to balance my checkbook?  If you don’t know your financial condition, then it is most likely not all that good.  

How you did:  If you came up with no more than two check marks, you are doing a reasonably good job managing your money.  If you have three or four, you are doing okay, but you could do a lot better.  Five or six is a strong indication that you are skating on thin ice and heading into trouble.  If you check more than six, you are in financial danger.  Tear up your credit cards, stop adding debt, set up a budget, tighten your belt and change your spending habits immediately.

The good news:  Whether you are an ace at managing your finances or a disaster in the making, you can improve your spending and money management habits.  By doing so, you will get better and more value from the  money you do spend, actually boosting your standard of living.

BUILD YOUR TEEN’S WEALTH WITH AN IRA

By John Ingrisano

Want to help your children build long, long, long-term wealth … maybe even be able to retire wealthy one day?  Consider setting them up with IRAs with the money they earn this from their summer jobs … and the rest of the year, too.   

Here are the rules:

·        If they earn any money, they can contribute (or you can contribute in their name) 100 %, up to $5,000 maximum, each year.  If you have the extra income, the idea is for them to keep the money they earn and you make the contribution, building wealth for their future.

·        It must be earned income.  Allowances do not count.  However, money from babysitting, mowing the lawn, shoveling snow does.  Just keep good records. 

·        Many advisors recommend a Roth IRA.  Contributions are not tax-deductible (but we are assuming that income is low), and 100% of benefits at retirement are tax-free.

How the money can grow:  Let’s say your child is 15 and earns $3,000.  You make an IRA contribution in his or her name for that amount.  If there are no additional contributions and assuming the money earns a 5% return, compounded quarterly, your child will have nearly $36,000 at age 65 … all from one $3,000 contribution.  If you continue making annual contributions, with your child eventually taking over the payments, the total at retirement will be nearly $704,000.

Increase the annual contribution to $5,000 and the amount at retirement comes to $1.73 million.  (And if we increase the assumed average interest rate to 7%, the total amount at age 65 will be more than $2.4 million.)

The bottom line:  Whether it’s just a few hundred or a few thousand dollars, you can help your son or daughter lay a solid foundation for long-term financial security.

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THREE THINGS I’VE LEARNED ABOUT MONEY

By John Ingrisano

[The following is an excerpt from The Back to Basics Book of Money! A Couple’s Guide to Financial Peace]

[Don't forget to look at the special offer below.]

I have always found money interesting and challenging. I have written about and taught money management skills for 30 years.  Three major things I have learned about people and money during those three decades:

# 1:  Most People Struggle with Money

First, many people struggle when it comes to using money as an effective tool to achieve their goals.  (For that matter, many people have no goals.  They just earn and spend in a relentless cycle.)  This is mostly because they have not given much thought to money, except to spend it and then worry about it on a daily basis.  In fact, to be painfully blunt, there are those among us who are flat-out ignorant when it comes to money. 

I have met people over the years who see no connection between the income they earn and the lifestyle they live.  That is not meant to be a blame or judgment statement, just a fact.  They do not have a clue how to use money, manage money, do much more than work like dogs 40 or more hours a week to earn money, and then turn around and spend it like drunken sailors on shore leave.  They earn it and spend it and borrow it.  The bank and the credit card companies  – everyone but themselves – are in control of their financial lives. 

# 2:  Money Problems Can Destroy Relationships

Second, while money cannot make people happy, the lack – or mismanagement – of money can make them miserable.  Because of their financial situation, many couples find that their lives are out of balance, if not completely out of control, not just financially but in every respect. Keep in mind that there is a close correlation between money problems and domestic problems.  Look at most divorces.  When we get beyond “He’s a jerk” and “She’s impossible to please,” the real reason behind most divorces and marital problems is MONEY.  Worry over money can eat away at couples in subtle ways, producing terrible stress that can tear families apart.

Financial problems are almost always part of the mix – in there somewhere — when it comes to divorce and marital discord.  Studies differ as to whether money comes in first, second or third (competing with sex and how to rear children as the top argument topics), but it seems to be always present in some form.  One study found that money was a source of tension between 84% of couples, with the number one cause of dissension being priorities about how to manage or allocate money.  Another showed that 70% of couples have the “money talk” at least once a week (“Honey, we have to cut back somewhere.”  “Okay, let’s go out for pizza and talk about it.”) and that 40% say they have lied about how much they spent on an item they recently purchased.  One thing is certain:  Money is the most common reason for arguments, what couples fight about the most, and the number one reason divorcing couples say is the cause.

On the other hand, money can be an amazing source of marital harmony and unity.  When finances are in balance, when couples are in agreement and pulling together in unison, this common cause serves to strengthen the bonds of the relationship.  At the very least, it provides a stable platform upon which to build harmony and settle other differences.  Perhaps that’s because being financially in control and secure makes people happier and more confident.  Take away ongoing money concerns and most folks would walk through their days with heads held higher.  They’d sleep a lot better, too. 

I’m not a psychologist, but I do know that when I’m not worried about money, I enjoy every other aspect of life more fully, and I’m much more pleasant to be around.  I suspect you are the same.  If you doubt it, ask yourself how worrying about paying an overdue bill, using a credit card when you know you are already having trouble making payments, or finding that you have a 31-day month but only a 28-day paycheck — how all these distract you and reduce your ability to enjoy your life.

In that same vein, did you ever notice that you often can spot people who have money in the bank?  We sometimes see them as having arrogant attitudes, but the fact is that (for many, at least) they simply have a quiet calm about them.  They seem more relaxed than those of us who are wondering about how to pay next month’s mortgage or pulling out the sofa cushions looking for change to pay the pizza delivery guy.  Money makes a difference in our attitudes and our confidence.  It is a powerful tool.

# 3:  Financial Health & Stability Can Start TODAY!

Finally, I learned that no matter how bad a person’s financial situation may be, it is NEVER hopeless.  It can be turned around and fixed.   Depending on how deep the hole, it may take some time to crawl out of it, but every day can show some improvement in standard of living. 

No, the cure is not always easy and can rarely be completed in a flash, but if you are determined to improve the quality of your life and your relationship, you can start today, and you will be amazed at the positive changes that will begin almost immediately to flow into your life.  Most of all, every day that your finances can be improved by a fraction, an inch, and then a foot (or perhaps better stated as a penny, a nickel, and then a dime), brings you that much closer to financial security, strength and peace.

What is the alternative?  Ignoring financial problems is like speeding a hundred miles an hour down a highway with a brick wall around a bend.  You may not know which bend, but that wall is there, and the crash will be a messy one.  Guaranteed.  So, the time is now to slow it down, turn it around and head in the opposite direction.

That’s why I wrote this book andworkbook, to help men and women who may be struggling with money matters.  Maybe it’s for you.  Maybe it’s for your children.  (I was amazed when the book first came out and the major buyers were parents of adult children, buying the books as anniversary, birthday and Christmas presents.)  Either way, this book will provide a roadmap and the tools needed to do the job and help you turn around your financial condition and the overall quality of your life. 

++++++++++++++++++++++++++++++++++++

Special offer, good through August 20th!  Order the two-book set of The Back to Basics Book of Money directly from my office, and I will split the middle-man savings.  The set retails for nearly $31, plus shipping.  If you order directly from me, send a check for just $22.95 (a savings of more than 30% when you consider shipping).  Checks only, please.  Send payment to:

John Ingrisano, Director

Family Finance Conference Center

204 Lakeview Drive

Algoma, WI 54201

ARE YOU A SHOPAHOLIC?

By John Ingrisano

Compulsive spenders tend to shop more from habit, boredom or unhappiness than genuine need.  The problem can be serious.  Fortunately, in most instances, awareness and a little self-discipline are enough to bring “shopaholic” spending under control.

Chronic overspending can disrupt a family’s financial stability.  Just as bad, it can lead to guilt and depression and even undermine otherwise happy marriages.  Danger signs include high debt loads, closets full of unused clothes and gadgets, shopping as an escape when feeling down or to cele­brate when feeling good.   

Self-quiz:  How about you?  Do you — or does some­one you know — have shopaholic tendencies?  Print out this page and answer the following questions, using a rating scale of 0 (ALWAYS) to 10 (NEVER).

____I shop for recreation or re­laxation. 

____I’m not sure how much I will spend when I shop.

­­­____I use credit cards when I shop. 

____My credit card balances are near the maximum. 

____I spend on luxuries, even if it means depriving myself and my family of necessities.

____When my bills arrive, I cannot account for one or more charges. 

____I buy items that I do not wear or use.

____My spouse and I quarrel over my spending.  (If single: Friends comment on my spending hab­its.)

____I spend money when I’m de­pressed or unhappy. 

____I find it difficult to walk into a store without buying something. 

____                                              TOTAL

Rating yourself:  If you scored 50 or below, your spending is out of control; 51 to 70 says you are “average,” but you could be more disciplined in your spending; a score 70 shows that you control your spending rather than the other way around. 

Suggestion:  If your spending is out of control (or even just a little out of line), try the following:

1.     Be honest with yourself.  Acknowledge that your spending is creating affecting your life…or that you could be doing better things with your money.

2.     Look for patterns.  Do you shop because you’re unhappy, angry or bored?   If so, find a new and more productive outlet for your feelings.

3.     Put yourself on a budget.  Figure out how much you can afford to spend each month and what you can afford to spend it on.  Then stick to that amount. 

4.     Leave your credit cards home when you shop.  Live by the motto: “If I can’t afford to pay cash, I can’t afford to buy it.”  If you’re easily tempt­ed, carry little, if any, cash.

5.     Practice premeditated shop­ping.  Shop only with a list.  Sound advice any time of year, this is especially appropriate when we approach the holidays.  Shop with pur­pose, not just for the fun of spending money. 

6.     Avoid temptations such as killing time at the mall or cruising the shopping sites online.  If you’re bored and need a pick-me-up, go for a walk or visit a museum. 

If all else fails, consider profes­sional help.  Spending can be an addiction.  There are a number of “Shopper Stopper” organizations around the country to help the shopaholic.  Final reminder:  The better you control your spending, the more value and satisfaction you will get from the money you do spend. 

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SPENDING $38,000 A YEAR ON OUR ADULT CHILDREN

By John Ingrisano

By John Ingrisano

Director, Family Finance Conference Center

Adult children are expensive … really expensive.  If you think your financial obligations to your children end upon their graduation, you may want to think again.  Sometimes the costs get even higher than when they were young.  In fact, the following just blew me away. 

In his book, Grown Up Digital (2009), Don Tapscott reports:  “Including school expenses, the average American receives $38,000 a year from her or his parents between the ages of 18 and 34.”  That adds up to more than $600,000. 

What to do:  Yes, help your children as you can and wish.  However, continue to prepare for and protect your own financial security.  Also, if you’re shelling out big bucks to help your adult children, maybe there’s small comfort in knowing that you’re not alone.

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DON’T JUST COMPLAIN — GET RESULTS

By John Ingrisano

Too often, when something goes wrong with a purchase — a bad meal at a restaurant, a faulty product, a poorly done service — we gripe and make noise.  If you do it right, however, you can get satisfaction.  

Most people suffer in silence.  Fewer than 4 out of every 100 unhappy customers speak up, says the FTC.

Why?  They’re usually not sure what to do.  Some blow their tops and shake a fist.  Most walk away without a word.  They simply take their business elsewhere. 

Reminder:  You owe it to yourself to get your money’s worth when you give a business your business.  When they fail to deliver the value you deserve, the seller should know that you are dissatisfied.   

You may be pleasantly surprised to learn that most businesses are eager to right a wrong.  They want to keep your business.

The key:  Know how to complain in a constructive, goal-oriented manner.  Don’t complain simply to hear the sound of your own voice.  Instead, focus on an appropriate solution.

Here are several suggestions that may help the next time you have a complaint: 

1. Anticipate cooperation.  Most of the time, business managers and government agency supervisors want to do what’s right.  Start with the assumption that the problem is an honest mistake.  Do not take an adversarial position.   
2. Be prepared to explain the problem clearly and succinctly…and to repeat your story several times.  Jot down a brief description of (A) the facts: when, where and who was involved, etc.; (B) why you are displeased; and (C) precisely what you want done about the situation (replacement, repair, discount on this or a future purchase, etc.).  On this final point, be reasonable.  Don’t demand free meals for a year because the waitress brought you decaf rather than regular coffee.   
3. Always get a name.  This serves three purposes:  It personalizes the contact.  It raises the level of accountability on the other person’s part.  It tells you who to thank when the problem is resolved.  (See point 4, below.)   
4. Put it in writing if it becomes obvious that a solution will take more than one phone call or face-to-face visit.  This provides a written record of your case.  It also gives weight to your complaint and says you are serious.  Important:  Even if it appears that the problem can be cleared up with a phone call or personal visit, write a brief “thank you” note to the person who helped you.  This documents the conversation and protects you if the problem isn’t resolved as promised.
5. Get to the power person…the one with the authority to do something.  When you call UPS because Aunt Ruth’s holiday present went astray, don’t expect satisfaction from the telephone operator or the person in charge of routine shipping.  You want to talk to a problem solver. 
6. Maintain your composure.  According to one rule of negotiating: “He who loses his temper…loses.”  Be firm.  Be demanding.  If necessary, explain that you are angry and frustrated and that you expect immediate satisfaction.  Do not blow your top.  That may work, but it is just as likely to send your file to the bottom of the stack.  People who may have wanted to help you will no longer champion your cause.
7. Let them — not you — do the leg work.  Don’t let the problem be delegated back onto your shoulders.  Don’t do their work for them.  “Well, you need to call the accounting department first.  Then call me back with the product code.”  When you hear lines like that, explain that clearing up the problem is not your responsibility, but theirs, and they need to take care of this problem and get back to you.  Reminder:  Whether you have a problem with your food in a restaurant or the brake job on your auto that left your car with an annoying squeal, do not accept being treated like it’s your problem.  It’s theirs!
8. Make it your policy to forget company policy…especially if company policy makes you jump through hoops for their convenience.  Explain that you have your own policy that goes something like this:  “I understand your policy, but it’s my policy never to pay for poor service or shoddy work.”
9. Be persistent.  People won’t always call you back or respond to your letters.  Perhaps they hope you will simply go away.  Don’t.  Become a pest…and make it clear that you will continue to be a pest until you get satisfaction.
10. Get help.  If the situation is serious or you are repeatedly stonewalled, contact the appropriate consumer agency.

The bottom line:  You have a right to quality goods and services for the money you spend.  However, it is up to you to make sure that, when you are dissatisfied, you get results.  We hope the above ideas help.  Good luck.

Why You Don’t Want to Get an Income Tax Refund

By John Ingrisano

Did you get a tax-refund from the IRS or your state this year?  If so, you not only over-withheld, but you may have gaven two high-risk borrowers — Uncle Sam and your state – interest-free loans.  

It is an odd American tradition.  On one hand, many of us complain about high taxes and how much money gets taken from our paychecks each month.  On the other hand, of the nearly 140 million individual federal income tax filings each year, the majority received refunds.  The sized of the average refund is more than $2,000.  

Many people choose to over-withhold.  Some people fear a large tax bill on April 15, so they do it deliberately.  Others use over-withholding as a form of forced savings.  Even though they receive no interest, they look forward to getting that large chunk of cash back each year in the form of a refund.

Still others see it as pretty much a bonus.  They view their refunds as fun money.  They use it to pay for that new flat-screen HDTV or take a trip to Disney World.  They look forward to their refund each year as if it were a pay bonus rather than a refund of their own money. 

The biggest drawbacks to this practice?  It used to be loss of use of the cash during the year, as well as loss of interest that this money could be earning.  That is because even though taxpayers must pay interest on underpayments, the government does not pay interest on over-withheld amounts.

But these days, with a number of states teetering on bankruptcy and the U.S. government no better off, there is the risk that the taxpayers may never see their money … or at least have to wait much longer than expected. 

So, why lend Uncle Sam and your state money?  Instead, file a new W-4 with your employer.  Get your withholding deductions in line with your actual tax liability.  Make your goal to break even or receive only a small refund each spring.   

Then find a better way to save money.  If your employer offers a 401(k) qualified plan, have the money allocated into that.  You will be able to deduct the amount from your taxes (which may save you as much as $500 on your income taxes on $2,000, if you are in the 25% tax bracket).  Another option might be an automatic deduction from your checking or savings account into an annuity or IRA.  Contribute that $2,000 to an IRA (you can contribute up to $5,000, plus another $1,000 if you’re over age 50), and you are making big strides toward accumulating money for your retirement.  Or, if you do want to use this money for immediate fun – like that spring cruise to the Caribbean – set up a “vacation fund” savings account.  Making regular deposits each month not only builds discipline, but it also creates a way to earn interest for big-ticket expenses. 

In other words, there are a lot of better — and more fiscally responsble — things you can do with your money than led it to the government.  Take charge of your money … and do it now.  

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Want to learn more about how to manage your money and your life?  Check out The Back to Basics Book of Money! A Couple’s Guide to Financial Peace. 

The book contains 10 valuable Couple Money Skills.  Plus, the Back to Basics Book of Money Workbook (which dovetails with the main text) offers 31 practical, hands-on Wealth Builder activities that can help you and your partner build financial and domestic stability.  Both the book and workbook, which retail for $31.98 plus S & H, are available at the Family Finances Conference Center website for $27.99 total.

The Family Finances Conference Center tailors programs to the unique and individual needs of client organizations and their members and employees, based on the principles of the book and workbook set, The Back to Basics Book of Money!  A Couple’s Guide to Financial Peace. 

For more information, contact me at the Family Finances Conference Center by email (john@b2bbookofmoney.com) or my direct phone line (920-559-3722).

John Ingrisano

Director

Family Finances Conference Center

204 Lakeview Drive

Algoma, WI 54201

(920) 559-3722

John Ingrisano is the author of The Back to Basics Book of Money! A Couple’s Guide to Financial Peace, and director of the Family Finances Conference Center.  He can be contacted at (920) 559-3722.

TEENS & CAR INSURANCE

By John Ingrisano

If you have teenagers behind the wheel, you car insurance rates can skyrocket … especially if your teen has accidents. Fortunately, there are proactive steps you can take to control your teen auto insurance costs. 

1.      Look for discounts.  Do your homework.  Look for specific ways to help keep your car insurance costs under control without jeopardizing the quality of coverage. These may include teen discounts (including savings for taking driver education classes and maintaining an overall high grade point average); the best way to arrange car and insurance ownership, whether in your name or your teen’s; as well as deductibles and best-choice levels of coverage.

2.      Shop around for the right car.  The best — and least expensive — approach is often to insist that your teen share one the family’s cars. If you need to add a vehicle, however, the right choice can be a real coin toss. On one hand, picking up an old “beater” can save you money on the purchase price and insurance, especially if you don’t include collision coverage. On the other hand, you want a safe and reliable vehicle, one with all the latest safety features. Possible middle ground: Go for the best deal on an older car, provided it has driver and passenger airbags.

3.      Shop around  for the best car insurance coverage for the best price.  Some insurance companies are much better with discounts. Start by talking to your auto insurance agent and ask for a cost quote.

4.      Stress safety.  Many teens (especially boys) are fearless. Unless they’ve seen the results first hand of a serious accident, they think driving a car is as safe as playing a video game.  Pound the importance of safety into their heads, starting with the fact that texting and talking on cell phones is unsafe (and also illegal in many states).

5.      Control use of the car, regardless of whose name it is in. According to information published by the Institute for Youth Development, teen accidents increase dramatically after 10:00 PM. Just as telling, the more teens in the car, the greater the potential for an accident. Stress that an automobile is a valuable and potentially dangerous piece of equipment, not a toy for joyriding. It should be used only for going to specific destinations. Let your child’s friends drive their own cars.

Teens and cars can be a tough call.  On one hand, you want your teen to have the freedom of wheels.  On the other, you want to keep from going broke on auto insurance premiums.  Most of all, you want to keep them safe. 

In a few years, they’ll be grown and out of the house … and then your rates will return to a more sane level.  In the meantime, consider the above steps to help all of you get through the teen driving years safely and without going broke paying auto insurance premiums.  Good luck. 

* * *

Want to learn more about how to manage your money and your life?  Check out The Back to Basics Book of Money! A Couple’s Guide to Financial Peace.  The book contains 10 valuable Couple Money Skills.  Plus, the Back to Basics Book of Money Workbook (which dovetails with the main text) offers 31 practical, hands-on Wealth Builder activities that can help you and your partner build financial and domestic stability.  Both the book and workbook, which retail for $31.98 plus S & H, are available at the Family Finances Conference Center website for $27.99 total.

The Family Finances Conference Center tailors programs to the unique and individual needs of client organizations and their members and employees, based on the principles of the book and workbook set, The Back to Basics Book of Money!  A Couple’s Guide to Financial Peace. 

For more information, contact me at the Family Finances Conference Center by email (john@b2bbookofmoney.com) or my direct phone line (920-559-3722).

John Ingrisano

Director

Family Finances Conference Center

204 Lakeview Drive

Algoma, WI 54201

(920) 559-3722

john@b2bbookofmoney.com

Get Your Children Ready for Their Inheritance

By John Ingrisano

“What will happen to my estate when I am gone?”  The topic makes many of us a bit uneasy.  Talk of death and inheritance is strictly taboo in many families.  But not addressing these issues can have serious consequences in the long run. 

The obvious problem:  Misunderstandings between siblings over their parents’ estates can lead to hurt feelings, mismanagement of funds and family feuding that can go on for years.  Such cat-on-a-hot-tin-roof bickering is more common than most of us would like to admit.

It can also lead to feelings of guilt, as children grapple with the idea of profiting from their parents’ deaths. 

The best solution:  Avoid even the potential for conflict or misunderstandings by mapping out your estate distribution strategy in advance.  Here are some guidelines to help you and your children prepare for their inheritance:

1.     Give serious thought to how you want your estate distributed.  Within very broad guidelines, you can do just about anything you want.  But if you don’t decide, the state will decide for you…with no regard for your wishes.

2.     Do an estate inventory, and then update it every year or two.  This need not be an elaborate ordeal — just a listing of assets and their approximate value.

3.     Talk to your children and other heirs.  If possible, meet with each individually to provide a broad-brush overview of your intentions.  For example, if your son is a successful lawyer and your daughter is a struggling artist, you may want to give a larger share to your daughter.  Explaining this to your son may help avoid bitter feelings later.

4.     Listen to your children and other heirs.  Get their opinions and reactions.  Maybe Betty doesn’t want the vacation cottage you considered leaving to her; or Roger prefers that at least some of his inheritance go instead into trusts for his children’s college educations.     

5.     Make a “special bequests” list of specific items.  It should include things a child, grandchild or close friend has expressed an interest in…such as the piano admired by your granddaughter or the ring you promised to your daughter-in-law.  This list, which should become a part of your will, can help avoid misunderstandings among your heirs.  Just as important, it will assure that your wishes are followed.

6.     Use life insurance to even out your distributions and also protect a surviving spouse.  If you give Angie your $150,000 business, the beset way to provide fairly for Jonny is with $150,000 of life insurance on your life.  Also, consider life insurance to assure that your spouse (assuming he or she outlives you) is well cared for.

7.     Talk to an experienced estate planning attorney about your options.  You may be pleasantly surprised at how many there are.  They can include everything from trusts to lifetime gifts and, of course, your will.  If you already have a will, make sure it is current.  Your will is one of the most important tools for an orderly, peaceful distribution of your estate.

8.     Review your estate planning goals, needs and potential tax liabilities with your attorney and your insurance agent.  Estate and other taxes can slice a major piece off your children’s shares.  However, there are a number of ways to conserve the estate you’ve built.  This includes the potential to save many thousands of dollars in unnecessary costs and taxes.  Among the options you may want to consider: life insurance, lifetime gifts and trusts.

9.     Select an executor who you believe can represent you effectively and with whom your heirs can work.  Perhaps a qualified family member — such as your daughter, the CPA — can serve as executor.  However, if there is the potential for sibling conflicts, consider a trusted outsider. 

10. Consider periodic family meetings to discuss your plans and get ongoing input as families and objectives change.

The decisions you make show a caring commitment to your heirs.  Take the time to plan today, and to prepare yourself and your children for their inheritance.  Do it for your peace of mind and the sake of your family.