Estate Planning: Building Trust Together

Many people think they are creating generational wealth when they are just making money. Now and over the next decade is the time known as the "Great Wealth Transfer". Up to $124 trillion is being transferred from Baby Boomers to younger generations. Many elders have assets that are unprotected and they don't have a plan for succession. Disparities in financial transfers contribute to rapid loss. Families of color lose inherited wealth within three years. Estate planning is essential to ensure that generational wealth becomes truly generational. Elders and families need to learn about Trust. I've created a program to provide workshops in partnership with The Hope For Humankind Foundation. We are offering educational workshop series to families in marginalized communities. Estate Planning: Building Trust Together is apart of our Breaking Barriers initiatives- a bundle of programs offered to CBOs in our neighborhoods. Families will learn what a Trust is, how to establish one, how to select beneficiaries and trustees, along with information on keeping assets within the family. They will learn about the ability to borrow against the value of their assets with collateral (like life insurance) so that they're never lost. They will learn about estate taxes, avoiding probate, and protecting assets for generations (from creditors, divorce and theft). This is true generational wealth!

The loss of wealth. Our program addresses the following factors contributing to wealth loss: Heirs' property laws: When a property is inherited without a will, it can be divided among heirs, who then each own a small percentage. If even one heir's small share is sold to an outside speculator, a court can be forced to sell the entire property, often for far below its market value. This has led to the loss of an estimated 80% of Black-owned rural land since 1907. Systemic discrimination: Historical and ongoing discriminatory policies have prevented families from building wealth through homeownership and other investments. The racial wealth gap is a direct result of these policies, with the median wealth of Black families being about a tenth of that of white families. Our program teaching families how to protect their current and future assets. Disparities in financial transfers: Studies show children of color receive significantly less financial support than their white peers, with an overall transfer receipt rate of 13.2% compared to 34.8% for white children, notes the Federal Reserve Bank of Richmond. Downward mobility: Black children are more likely to experience downward mobility in household wealth compared to white children, even when growing up in similar economic circumstances. What this means for families in NYC communities: Increased vulnerability: Heirs' property laws and systemic discrimination make it difficult for families to build and maintain generational wealth, leading to increased vulnerability and a cycle of poverty. Loss of tangible assets: The loss of land, a key asset, represents a significant financial and emotional loss for families and communities. Wealth gap: These factors have contributed to a persistent and widening wealth gap, with Black families' median wealth being a fraction of that of white families.

Older Adults (65 +)

Parents