mother and child in a museum

Education Planning

Education Planning
that Enhances Life and Legacy

Why Education Planning

Educere (Latin): the process of drawing out or leading forth a person’s inherent potential. 

Decisions about schooling (type of school, navigating admissions, extracurriculars, etc.) can be all-absorbing. And so you may not think of these questions in context of the big picture: how to make education part of your family legacy for generations to come. 

At LNW, we take the time to explore with you the possibilities of education as a legacy creating gift. We then work with you to optimize that gift in context of the unique factors that define your family now and well into the future — your family history, values and finances along with the individual abilities and interests that comprise your family’s human capital. A long-term commitment to education can help align and enhance all these factors over time, strengthening the family legacy.

Education Planning at LNW

While education plans at LNW differ greatly based on family needs, generally they consist of three pillars:

  • An intentional, long-term commitment to education, reflected in the overall wealth plan and in the family mission statement (if applicable). 
    Benefit: Establishes education as a family priority.
  • Specific strategies for funding education for the younger generations within the family and/or support for educational nonprofits, including the creation of endowments or foundations.
    Benefit: Provides family members and others the freedom to learn, grow and eventually lead without having to worry about financial constraints. 
  • Financial literacy guidance for family members based on their interests and abilities.
    Benefit: Prepares family members to responsibly manage assets they will inherit and thrive in whatever they choose to do.

Education Funding Strategies

At LNW, analysis to support education planning is wide-ranging, comprising financial and educational considerations, to help you determine which funding strategies would work best in terms of tax-efficiency, estate planning, and even the timing of international transfer/currency exchange when applicable. 

Education planning can be categorized into time horizons – immediate/intermediate; and long-term/multigenerational. The longer the time horizon, the more options for funding that is tax-efficient and fits in with your overall estate plan. Front-loading of 529 Plans, dedicated investment accounts, a trust fund for education purposes and annual gifting strategies are some of the options that can work together to accomplish multiple goals for different generations. 

Just as important, at LNW we strive to keep planning flexible to allow for the evolving interests and abilities of children and grandchildren as they age, including study abroad and non-academic pursuits (music, art, trades). 

Financial Literacy

Education planning at LNW includes ways to instill financial literacy as children age and are able to take on more responsibility. We can also work with family members of any age, at their comfort level, to help them develop working knowledge of financial concepts. Our involvement can include:

  • Financial literacy education and resources for children, teens and adults
  • Structured family meetings to discuss values, goals and educational roadmaps
  • Working with young adults as co-trustees, as advisor on their custodial/investment accounts, or as the beneficiaries of a trust. 

With the proper guidelines and guardrails in place, watching young people take on increasing responsibility for their life and finances is a joy to behold.

Education Nonprofits & Charitable Giving

For many families we work with, education planning also has a broader dimension beyond the immediate family. The many ways to give to an alma mater or other education nonprofit can include asset donations, a charitable trust, a Donor Advised Fund or a charitable gift annuity. We can also advise on how to fund an endowment or foundation focused on education.

All these ways to support education for the greater good can create a multigenerational academic legacy the entire family can be a part of over many generations.

Education as a Platform for Success

As advisors to families over many generations, we firmly believe that education planning is one of the most effective ways to pass on family values and strengthen the family legacy. At the very least, it ensures that all current and future family members will have the opportunity to reach their full potential regardless of economic shifts or changing family dynamics. We are here to work with you on putting your family’s education plan in place.