Family Transformation

Thea Lowery

Case Study

Family Transformation

Greatness Why does your story matter?

Original Financial Impact

  • Couple in their late 40’s/early 50’s and 4 young children.
  • Had legal documents that had not been updated since children were born, but entire estate was designated to their children in trust.
  • No plans for a lifetime inheritance.
  • Wanted to limit the inheritance for their children but were not clear on the amount.
  • Owned a business that was nearing a sale in the next 2-4 years and would be subject to substantial capital gains taxes.

Original Family Impact

  • They wanted to be intentional with how they were raising their children but unsure where to start.
  • They didn’t know what conversations to have around wealth and timing of those conversations with their children.
  • Their was a desire to be more generous but little clarity around the impact the family could make.
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Growth What is the ROI (Return on Intention) of your story?

Opportunities

  • Reduce their annual income taxes
  • Minimize capital gains taxes on the sale of their business
  • Eliminate at least $20,000,000 in unnecessary estate taxes
  • Restructure their children’s inheritance
  • Increase charitable giving by at least $10 million
  • Develop a long-term strategic charitable giving plan
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Governance Who tells your story?

Values

  • Created core values and family purpose statement for parents and adjusted as kids matured.
  • Equipped family members to speak into these in a way that resonated with their personal purpose.

Vision

  • Wrote letters capturing the family story and the vision and dreams for their children.
  • The family created “must haves” for the family to continue to fulfill its calling.

Voice

  • Annual meetings to bring the whole family together to discuss financial and relational issues as were age appropriate.
  • Priorities and clarity for their giving focus.

Venture

  • Establish Family Foundation.
  • Engaged family in volunteering and mission trips in ways that could support the involvement of their children over the years.
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Generosity How can your story create transformation?

Strategies

  • Set up new Spousal Lifetime Access Trusts to set aside funds to provide for their children’s $3,000,000 inheritance at their passing.
  • We utilized a Charitable Remainder Trust to avoid capital gains tax when the company was sold.
  • We created a charitable giving plan to strategically gift cash and asset gifts to take advantage of charitable deductions.
  • We helped them gain clarity on their passions to experience more joy in giving.
  • We created an inheritance strategy that provided each child the desired lifetime inheritance.
  • They directed all of their remaining assets to their foundation after their passing.

Charitable Giving

Lifetime Income

Children's Inheritance

Lifetime Income Taxes

Capital Gains Tax on Asset Sale

Estate Taxes

Case studies are for informational and illustrative purposes only and not to be considered a guarantee of results.
Actual results will vary with each situation.