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When considering your legacy, deciding how much to leave your children, grandchildren and other beneficiaries is one of the most important questions families face. However, the amount you provide is only one factor of many that you should consider.

When helping clients clarify how much they wish to leave to their beneficiaries, the Warren Buffett quote often emerges: “I want to give my kids enough so that they could feel that they could do anything, but not so much that they could do nothing”.

Our experience with successful families means we can help you understand what you should consider when planning your distribution.

The first thing you should consider is discussing your plan with your dependants. This gives you the opportunity to communicate your reasonings and expectations.  We have chaired several meetings intended to open the conversation in a structured way regarding intergenerational transfer.

Try matching the distribution of your funds with key moments in your beneficiaries’ lives. It may be beneficial for your dependants if they receive their inheritance later in life, rather than one lump sum earlier. This can allow them to become more established and not rely on the inheritance. We often suggest beneficiaries to access inherited wealth at around age 25, or at a time when you believe they may need funds for education, purchasing a house or business development.

There are also tax considerations that need to be considered on the question of whether funds are distributed during your life or upon death.  A good inter-generational plan considers tax and balances transfer of wealth to the next generation both during and post life.

Legacy and wealth transfer planning is a high priority for our clients, and should include structured details to ensure your beneficiaries use this wealth to achieve their goals and enjoy the quality of life you envisage for them.

For successful distribution, don’t forget to look beyond dollar amounts and structure your distribution to really help your dependants obtain the most value from your estate, while still enabling them to work towards their financial and lifestyle goals.

Joe Stephan

Independent Financial Advisor

Joe Stephan graduated in 2002 with a Bachelor of Business (Fin Plan) under the tutelage of his father (Program Leader of Financial Planning at RMIT University).
You will hear Joe bandy about the idea of “pure financial advice”, which is given objectively and focused around the needs of individual and not the internal needs of the business providing advice.

Joe is realising his vision every day through his Independent Advice Firm which he owns and operates with his brother James. Joe also spends a portion of his time teaching tomorrow’s Financial Planners at various Melbourne Universities including RMIT & LA Trobe.

  • Enjoy the fruits of working life Joe & James were able to provide me with the impetus to take the next step into retirement which could have been delayed without quality financial advice. Dr. Kevin Adams Self Funded Retiree
  • Professional practice to be admired Joe & James' professional practice is to be admired. They are always there for his clients when needed. They freely pass on their expert knowledge without hard product selling techniques. Dr. Elspeth Mckay Associate Professor
  • Personal advice for complex lives Stephan Independent Advisory took the time to understand our situation & tailor their advice & solutions to our specific needs which, being a business owner, can be quite complex. Paul Marsh - Principal P2 Group - Business Owner
  • Family centered advice We have moved our investments from being a private client with a major bank to Stephan Independent Advisory in 2018. Since this move, we have been surprised at the depth of understanding encountered from Joe and James about our future plans and their ability to comprehend exactly what we wish to achieve. Mr Graham and Mrs Judith McKnight Self Funded Retirees
  • Values aligning with our own Clear, timely and direct responses in all areas of communications are outstanding. Meetings are planned and run efficiently to deliver on all our expectations. The firm’s values align to our own so that trust is readily established. Mr John and Dr Kim Watty Self Funded Retirees

It’s Never About Money

Whether you have significant financial resources and question the meaning of success or if you’re wondering whether being that little bit wealthier will make you happier this is the podcast for you.


Stephan Independent Advisory
Private Wealth Management
Suite 506, 1 Princess Street, Kew VIC 3101