By Ramsey Solutions

Remember, no matter how much wealth you build over the course of your life, you can’t take any of it with you when you’re gone. Like the old saying goes, “You’ll never see a U-Haul behind a hearse.”

Proverbs 13:22 (NIV) says, “A good person leaves an inheritance for their children’s children.” That means you have a responsibility to be intentional about transferring your wealth to the next generation—that’s a huge part of your legacy!

Generational wealth is all the stuff that’s passed down from one generation of a family to the next—everything from your investments and real estate to cash and anything else that has financial value. When done correctly, a smooth, thoughtful transfer of wealth can change your family tree forever. But if you don’t plan properly, you could end up causing a lot of unnecessary drama for your loved ones. The stakes are very high.  

So, how do you prepare to pass on generational wealth? Here are a few things you can do right now to make sure you pass the baton cleanly:

• Write a will. A will is a legal document that lays out exactly who gets what after you die—and everyone over the age of 18 needs to have a will. If you don’t have a will, you need to make one as soon as possible. RamseyTrusted provider Mama Bear Legal Forms can help you create your own will online in just a few minutes. Don’t put this off! 
• Set up an estate plan. If your net worth is more than $1 million, you might need to consult an estate planner to help make sure all your ducks are in a row.
• Get all your important documents organized. Putting together a legacy drawer where you keep important documents your family will need if something happens to you—things like your will and estate plans, funeral instructions, account passwords, and personal letters to loved ones—is one of the best things you can do for them.