Do you want to ensure that when you pass on, your loved ones will be able to support themselves? Do you want to make sure that they will not suffer or quarrel over any inheritance left behind by you? Do you want to protect them from creditors? Do you want others to remember you by the impact you left behind?
If you answered yes to any of the above, you might wish to consider building a legacy through legacy planning.
Planning ahead means that you will be able to allocate your wealth to protect you and your loved ones. With legacy planning through insurance, you will be able to do so without stressing over the amount that you have to save before you pass on.
One example of legacy planning is to commit $1 million, and we can multiply this $1 million to $3-$4 million when you need it most (i.e. when you pass on). The amount of the insurance payout will be allocated to your family, be it to give your children a head-start, or to prevent dispute within the household. Or you can choose to distribute the $4 million over the lifetime of your loved ones to ensure their welfare for life and have an assurance against abuse of funds.
We will be able to aid you in analysing the different plans to ensure that the payout of your insurance when you pass on will be able to cover the livelihood of your loved ones. The money that will be left over and given to them will not be taken from your bank account but from the insurance itself.
Implementing trust in legacy planning
Now, you may be wondering how you will be able to ensure that the legacy that you build will be able to sustain your loved ones for a stretch of time? What if the payout is given to them at one go and they spend it all?
To do that, you can set up a “trust” and implement it in your will that states specifically how you want the wealth to be given out.
There are things to consider before you decide to implement trust and legacy planning, and these considerations can be translated into conditions for the trust. They include but are not limited to:
- Who will be able to receive the money?
- What is the amount that they will receive?
- Where can they receive it? (Local or Overseas)
- When will they be able to receive it? At what age?
- Why do you want to do it?
- How will the trust be implemented?
The implementation of a trust for legacy planning comes in two ways.
Firstly, there is the Living Trust, which is where the person who wants to leave the legacy is still alive. The second is the Testimony Trust, where the person has already passed on.
Implementing a trust in your legacy planning can also be used as a credit protection plan, whereby your creditors will not be able to come after you or your loved ones for any credit that you owe.
Comparing legacy planning between different banks for the right plan for you and your loved ones
Trust and legacy planning are mostly implemented by banks, and here at SGCompareInsurance, we have access to the information from various banks on legacy planning and the different plans they have that will protect you and your loved ones against any adversary.
Most banks provide legacy planning via a partnership with insurance companies. These are some example of the banks and the insurance companies they are affiliated with (where we have access to all the legacy plans offered by them)
- CitiGold – AIA
- OCBC Premier – Great Eastern
- DBS Treasures – Manulife
If you are interested in building a legacy for your loved ones, reach out to us, and we will be able to provide you with an adequate comparison of the banks and the insurance benefits so that you will be able to have a clearer picture of your legacy planning.
For more information, click here or reach us at 65758400.
Fill up the form below and our advisor will contact you for an initial discussion on your legacy planning
Besides legacy planning, you may want to read up a lifetime retirement income plan here.