Rob Edwards is a nationally acknowledged adviser who helps millionaire households navigate the complexities of their wealth. At Edwards Asset Administration, he helps shoppers construct considerate, long-lasting legacies—not simply monetary plans.
This interview has been edited for size and readability.
SUCCESS+: What precisely is wealth succession planning, and the way is it completely different from simply writing a will or naming beneficiaries?
Rob Edward: Wealth succession is about greater than deciding who will get what. It’s your likelihood to form your legacy deliberately and in your phrases.
Wills and naming beneficiaries are good practices, however they merely allocate property. Wealth succession planning goes past this and helps craft an enduring legacy that may have a serious impression on the folks and causes you care about most.
For instance, whenever you use a easy will or simply title beneficiaries, you’re primarily handing your heirs cash with out a lot course. Succession planning, however, remains to be about passing on wealth—however with clear intent. You may arrange a belief that specifies you’d like to assist your kids purchase their first house, assist their schooling or fund a enterprise thought. That’s shaping a legacy, not simply distributing property.
S+: At what level ought to somebody begin eager about succession planning? Is there such a factor as “too early”?
RE: It’s by no means too early. The earlier you begin, the extra management and peace of thoughts you’ll have. Individuals typically assume planning is all in regards to the cash, nevertheless it additionally helps keep away from pointless stress and battle down the highway.
When folks wait too lengthy, the results might be each emotional and monetary. I’ve seen grownup siblings cease speaking to one another due to misunderstandings round who will get what. These conditions typically result in elevated authorized prices and taxes. However much more damaging is the emotional fallout—resentment, stress and, in some circumstances, household relationships which are by no means repaired.
S+: What are some widespread errors folks make when planning to cross on their property?
RE: Individuals normally both wait too lengthy, hold their plans a secret or assume everyone seems to be on the identical web page about what’s most necessary. In my expertise, clear and upfront communication beats complexity each time.
S+: How typically do folks delay planning as a result of they assume they’re “not rich sufficient”? What would you inform them?
RE: On a regular basis. Actually, I’ve been listening to this an increasing number of recently. My perception is that in the event you’ve constructed something that you simply worth, then you definitely’re already “rich sufficient.” Who cares what your neighbor is doing or what social media says? Succession planning is about preserving your legacy and defending your family members—not about dwelling as much as another person’s requirements.
S+: What does a stable, trendy succession plan appear like in 2025? Are there parts most individuals wouldn’t assume to incorporate?
RE: There may be lots of uncertainty with tax legal guidelines proper now. It additionally appears that inflation could also be with us for a while. On high of that, life is fickle and at all times altering—typically unexpectedly.
So, for my part, a stable succession plan would come with tax-smart trusts, investments that may outpace inflation and clear pointers for the way property are for use.
To broaden on that: A belief that’s “tax-smart” may be designed to scale back taxes by spreading distributions out over time or together with charitable giving. An “inflation-proof” funding is one which grows alongside inflation—serving to protect a household’s buying energy. Belongings that are likely to carry out nicely in inflationary environments embody shares, actual property and commodities.
S+: How do private dynamics—like blended households or completely different monetary values amongst heirs—issue right into a well-thought-out plan?
RE: Household dynamics are normally the hardest half. A well-thought-out plan tackles these points upfront in a transparent, direct and trustworthy manner. Getting everybody on the identical web page at present helps keep away from battle later.
For instance, I just lately labored with a shopper who remarried later in life, with grownup kids on each side. We created a plan that overtly mentioned everybody’s expectations after which established separate trusts to honor every household’s priorities. This helped everybody really feel heard from the beginning—and ideally, reduces pressure down the highway.
S+: What are some good methods to set situations round how cash is used with out creating resentment?
RE: Begin your planning along with your values and intentions—not management and ultimatums. With a robust ethical basis, your planning might help foster accountable stewardship relatively than resentment.
One artistic instance I’ve seen got here from a really entrepreneurial household. They added a “legacy match clause” to their belief. It acknowledged that if their grandchildren earned cash by means of internships or jobs, the household belief would match it dollar-for-dollar. I believed that was a intelligent strategy to reinforce the household’s work ethic whereas nonetheless offering assist.
S+: What position do taxes play, and the way can folks decrease the tax burden for his or her heirs?
RE: Taxes are an enormous consideration. They’ll’t be averted, however they are often managed. And also you don’t at all times want to leap by means of hoops to get the job completed nicely.
Even easy methods—like giving presents whilst you’re nonetheless alive, utilizing trusts strategically and selecting tax-smart investments—could make an enormous distinction. The bottom line is to plan forward and be intentional.
S+: Who ought to somebody converse to as they start—do you want a complete crew, or can one adviser assist get issues rolling?
RE: Begin with somebody you belief fully. Often, there’s one adviser who actually “will get” you and your loved ones. That particular person might help you set up a crew of specialists—property attorneys, tax specialists and extra—when the time is correct.
I began my profession at a household workplace and noticed firsthand how helpful it’s to have a number of skilled views concerned within the decision-making course of. It helps guarantee each base is roofed.
S+: What’s one piece of recommendation you repeatedly give to shift mindsets about wealth switch?
RE: I at all times remind shoppers: Assume legacy, not simply inheritance. Your wealth switch ought to mirror who you might be, what you worth and what you need folks to say about you whenever you’re gone.
S+: What makes a succession plan actually significant—not simply financially, however emotionally or philosophically?
RE: It’s significant when it expresses your life’s work, your knowledge and your love. Probably the most profitable plans aren’t nearly transferring wealth—they’re about empowering the following technology to thrive and carry ahead your loved ones’s values.
And right here’s one thing I want extra folks knew: Succession planning isn’t only a chore to examine off. Sure, it takes time, although, and typically robust conversations. However when it’s completed proper, it brings households nearer collectively. It creates unity and shared understanding round what actually issues. That, to me, is the best reward you’ll be able to go away behind.
Picture courtesy of Rob Edwards. This text initially appeared within the July challenge of SUCCESS+ digital journal.
