“Failure to plan is planning to fail” is one of those often-repeated phrases one would find in many a financial planning article. It is true of course, but if you put this dictum to the test in real life, it still is astounding to what extent people in general fail to plan.
The conundrum with estate planning is that even if you plan, the plan is never tested until after death – at which time – if the plan does not work out – there is nothing one can do.
That is simply not good enough either.
The Living L&D is an innovative product development that puts a stop to this madness. Yes, you should plan, but at the same time the plan should be put to the test to ensure that the outcome one had in mind is realised.
Any plan can be tested through a simulation. Financial planners “test” their plan through a simulation done on an Excel spreadsheet (or some other smart financial tool) to ensure that the growth and risk they propose on an investment achieves the desired investment outcome – one of which is the risk of longevity.
Carrick Consult has adopted a similar simulation called the Living L&D to not only test any estate plan by simulating the administration process of a deceased estate, but also to manage the plan and the simulation over the lifetime of a client to ensure that the plan changes over time and that the simulation provides certainty that the plan works as it was intended to do.
Enrolling in the Living L&D programme achieves a number of objectives:
- It provides a precise mathematical visual aid to a client to see for him – or herself the actual result of the estate planning. One can see exactly who will get what, which assets will be sold and which retained, what the estate duty payable is and whether a liquidity issue exists.
- It provides an opportunity for the advisor and the client to change the planning and see how the outcomes change.
- It allows the estate planner to be constantly prepared for the eventuality of death as the greater part of the work that needs to be done after death is already in place. By running the Living L&D simulation, the actual work required to be done after death is already done.
- The avoidance of calculation errors and thought errors means that the time it takes to administer such an estate is cut in half. Most delays in deceased estates could have been avoided through proper planning and proper planning cannot be done without running a simulation or testing the plan.
Guessing either maths or the law is simply crazy.
From this day on, no Carrick client will ever have to guess either. At Carrick we simply don’t guess maths and we simply don’t guess the law.
To support this drive, Carrick Consult makes use of smart automation to collect the information from its clients and to import each client’s reply into its Living L&D process. Remediation is done through a team of expert fiduciary advisors, all admitted attorneys, that work alongside the wealth advisors.
In order to encourage this change in estate planning behaviour, all costs incurred in accessing this solution are offset against any future executor’s fee and the level of adoption of the solutions will also give a client an automatic discount of between 30% and 50% of the executor’s fee.
Estate planning is a key building block of financial wellness and will never be done differently again.
Take control and ownership of your estate plan through the Carrick Consult Living L&D. It’s the best gift you can leave your loved ones.