What Is A Legacy Anyway?

Legacy: “An inheritance or a heritage.  Synonyms include a bequest, birthright, devise, endowment, estate, gift, heirloom, throwback, tradition”.

    A legacy is more than money; more than memories; and, more than good DNA or a few good deeds. It takes some forethought, or at least a passion applied, to leave a good legacy for the next generation. For those of us who are not wealthy, a legacy might not be something we think about.  Or if we do think about it, we don’t really like to talk about it. Isn’t it the thing Presidents start talking about the day they enter office.  That’s what the very wealthy talk to their attorneys about, right?

    Actually, it’s something even those of us who just want to pay our bills and stay in our homes might find ourselves thinking about.  As we hear of a friend’s illness or we deal with a loved one’s passing, we might find ourselves thinking about it more than ever.  At some point, there’s a pull to consider how we might impact, plan or even “design” a legacy:
    Now ... while we can set in motion something that will touch lives beyond our own.
    Now ... before we are immersed in the 5th Chapter of our life.
    Now ... while we have resources, energy, talents and time to make a difference.
    Now ... because the dollar amount of our resources are less important than our reach and vision.

    A legacy reaches farther when we share with a team.  The team can be other professionals, charities, like-minded people, employees, or a family business.  Inside each of us is a desire to feel that our life has mattered to others. While we consider what it means to develop a vision that extends beyond our own lives, you’ll find occasional posts here about charities, foundations, people and family businesses who offer small examples of building a legacy of value for the next generation.

    For some people a family business is the ideal way to build a legacy because by it’s very nature, a business requires us to pay attention to others’ needs and values.  A family business often has built into it the value of helping family members or designing work around raising children.  Sometimes, we build a business to pass on to the next generation.

    Often, passing the torch to the next generation is not easy. There are tools to help.  We’ll touch on some of the tools in this blog occasionally.  For now, here is a teaser statistic: 70% of estate wealth transfers fail. Or, another way to view this statistic is the Chinese saying, “Wealth never survives three generations.”  

    The steps wealthy families take to successfully transfer wealth to the next generation goes way beyond hiring an attorney. They begin with thinking about ways to build and pass on a legacy of values.  They think about how to share value; show value; build in value; and, encourage value.  They also take a realistic look at family dynamics - the abilities, shared values, interests, communication, trust level and willingness to deal fairly within the family.

    Designing a legacy is not just for the wealthy.  It is for anyone that wants to touch the future.  Find a vision you can embrace.  Share your time, talent, and treasures in a focused area that offers the real currency of hope, even if you won’t be here in fifty years to see it.