John Awuah Writes: Protecting Your Legacy; The Importance Of Estate And Gift Planning

Did you know that the month of October hosts three significant financial services events?

1. October is the Cyber Security Awareness month
2. October is also the Customer Service/Appreciation month
3. Most importantly, October is again, the month of Estate and Gift planning.

I would like to focus this short write-up on point 3 above, Estate and Gift planning.

If you fail to prepare a Last Will and Testament, someone else other than your chosen representative will share your wealth upon your demise. In other words, if you don’t, with the help of a lawyer, prepare a Last Will and Testament, PNDC Law 111 will share your property for you, and it might not reflect what you really wanted after your death.

Alternatively, you might want to Gift some of your chattels and property to a loved one and not include them in your will. The beneficiary of a Gift must thank the benefactor of the Gift  for it to vest properly, chase the commissioner of GRA, and pay the associated taxes if any. The item for thanking the benefactor could be a drink, etc., or simply by consuming the Gift.

In any case, if you are 18 years of age or older, do not wait until you have acquired massive wealth before you plan to work on a Will. You do not have to be rich to have a Will. You can Will your personal effects; clothes, shoes, etc. Make sure the wealth you have built is safeguarded properly and the next generation is well equipped to handle the wealth you bequeath or transfer to them.

A special benefit of working on a Last Will and Testament is its intrinsic value. IT IS HUMBLING!! It makes you understand life better and may make you live differently. It brings VANITY to the front burner of your decision-making. It tells you that all the hustlings, trampings, destruction, corruption, killings, juju, and 419s all in the name of generating wealth is VANITY because you will sit down one day and allocate these ill-acquired properties around the world to people or organisations but none to YOURSELF. Why would you go through all the troubles and risks to steal, destroy, kill, maim, etc. only to handover to someone, even if to your nuclear family? It is humbling to have a Will so if for nothing at all, have a Last Will and Testament for its intrinsic value.

Consult a lawyer today and learn more about Wills, Trusts, etc.

Giving Back means Giving Forward – always give without expectation of receiving.

Plan your ESTATE AND GIVING and prevent INHERITED POVERTY!

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#CFLEAfrica

By John Awuah

The writer is the Advisory Board Chairman of the Centre for Financial Literacy Education Africa and CEO, Ghana Association of Banks.