What financial goals should you reach in your 20s? This blog will be the first in a series of Financial “To Do” Lists for each stage of your life – we will start with your 20s and cover each decade thereafter.
The majority of businesses in the United States are “closely-held”. This means that they are not publicly traded and there is no ready market in which to sell these companies. It is estimated that of all the U.S. small businesses, approximately 40% of these are currently owned by individuals aged 50 or older. Most of these owners have not done any planning with respect to their business. Often, over 80% of a family’s wealth is tied up in the business and is illiquid. A lack of planning could lead to the family’s assets being diminished, or worse, ending up in the wrong hands.
The following is an excerpt from a client conversation that happens frequently in my office:
PAA: Have you given any consideration to your long-term needs?
Client: Yes, I have, and my children tell me that they will take care of me.
PAA: Are your children working?
Client: Oh yes, I am so proud! My son-in-law is a surgeon, and my daughter works full-time as an attorney while raising three beautiful children!