Rolling Meadows, IL (PRWEB) March 23, 2010
Asking readers to “imagine what this nation would be like if social security was given as a lump-sum dollar amount”, Joseph Khasho advocates a bold change to the traditional structure of estate plans. Citing the average American’s poor management of personal finance and asserting that wealth is sustained or built by the prudent management of cash flows, he suggests lump-sum inheritances are generally a “mistake” and favors “paycheck-like” income streams similar to social security payments; especially for those who have a history of poor financial choices.
“If an adult child is clearly not demonstrating strong financial discipline and you want them to have the best chance of success long-term, give them an additional income. Financially, it’s just much more difficult to slip-up with an income stream than with a large dollar amount in hand”. Add to that the possible protection from creditors (depending on the structure of the estate plan) and he claims that individuals would create a superior environment that can protect children while increasing the likelihood that they will reach financial independence themselves.
The views expressed here reflect the general views of Joseph Khasho as of January 17, 2010. These views may change as market or other conditions change. This information is not intended to provide investment advice and does not account for individual investor circumstances. Consult with your attorney regarding specific legal issues.