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 totally 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 probability 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 affect on the individuals and causes you care about most.
For instance, once you use a easy will or simply identify beneficiaries, you’re basically handing your heirs cash with out a lot route. 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 youngsters purchase their first house, help their training or fund a enterprise concept. That’s shaping a legacy, not simply distributing property.
S+: At what level ought to somebody begin excited 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 usually assume planning is all in regards to the cash, nevertheless it additionally helps keep away from pointless stress and battle down the street.
When individuals wait too lengthy, the results will 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 usually result in elevated authorized prices and taxes. However much more damaging is the emotional fallout—resentment, stress and, in some circumstances, household relationships which might be by no means repaired.
S+: What are some widespread errors individuals make when planning to move on their property?
RE: Individuals often both wait too lengthy, preserve 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 usually do individuals delay planning as a result of they assume they’re “not rich sufficient”? What would you inform them?
RE: On a regular basis. In actual fact, I’ve been listening to this increasingly these days. My perception is that should you’ve constructed something that you just worth, then you definately’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, fashionable succession plan appear to be in 2025? Are there parts most individuals wouldn’t assume to incorporate?
RE: There’s numerous uncertainty with tax legal guidelines proper now. It additionally appears that inflation could also be with us for a while. On prime of that, life is fickle and at all times altering—generally unexpectedly.
So, for my part, a stable succession plan would come with tax-smart trusts, investments that may outpace inflation and clear tips for the way property are for use.
To develop 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. Property that are likely to carry out effectively in inflationary environments embrace shares, actual property and commodities.
S+: How do private dynamics—like blended households or totally different monetary values amongst heirs—issue right into a well-thought-out plan?
RE: Household dynamics are often the hardest half. A well-thought-out plan tackles these points upfront in a transparent, direct and trustworthy method. Getting everybody on the identical web page at the moment helps keep away from battle later.
For instance, I just lately labored with a shopper who remarried later in life, with grownup youngsters on each side. We created a plan that brazenly 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 rigidity down the street.
S+: What are some good methods to set situations round how cash is used with out creating resentment?
RE: Begin your planning together with your values and intentions—not management and ultimatums. With a powerful ethical basis, your planning may also help foster accountable stewardship slightly than resentment.
One inventive instance I’ve seen got here from a really entrepreneurial household. They added a “legacy match clause” to their belief. It said 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 help.
S+: What function do taxes play, and the way can individuals reduce 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 performed effectively.
Even simple methods—like giving items 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 communicate to as they start—do you want a complete crew, or can one adviser assist get issues rolling?
RE: Begin with somebody you belief utterly. Normally, there’s one adviser who actually “will get” you and your loved ones. That individual may also help you set up a crew of specialists—property legal professionals, tax specialists and extra—when the time is true.
I began my profession at a household workplace and noticed firsthand how priceless 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’re, what you worth and what you need individuals to say about you once 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 era to thrive and carry ahead your loved ones’s values.
And right here’s one thing I want extra individuals knew: Succession planning isn’t only a chore to test off. Sure, it takes time, although, and generally powerful conversations. However when it’s performed proper, it brings households nearer collectively. It creates unity and shared understanding round what actually issues. That, to me, is the best reward you may depart behind.
Photograph courtesy of Rob Edwards. This text initially appeared within the July difficulty of SUCCESS+ digital journal.
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