Everyone leaves legacy of some sort. The word legacy actually means “something that is passed on from an ancestor or predecessor.” As financial advisors, we tend to think of legacy in strictly monetary terms. However, there’s another type of legacy, that when combined with a client’s financial assets can exponentially raise the value of an inheritance on every level – monetarily, emotionally and especially, in terms of family.

Allianz Life Insurance Company of North America conducted a recent survey and found that 48% of their baby boomer respondents believed that leaving a legacy of family stories, traditions and values was actually more important than a financial inheritance. Over the last several years, there’s been a steady increase in interest surrounding legacy planning and the use of non-financial assets, such as legacy videos as part of the estate planning process.

While traditional estate planning can be effective in helping clients pass their wealth onto the next generation, a legacy video is a methodology for sharing their personal history and philosophies. A quality video can capture a client’s life story – their beliefs, experiences and the essence of who they are.

Allianz Life Insurance Company of North America conducted a recent survey and found that 48% of their baby boomer respondents believed that leaving a legacy of family stories, traditions and values was actually more important than a financial inheritance.

These video histories are a gift to the heirs and a way for clients to preserve the hopes, values and expectations that they wish to include as part of the inheritance they leave. With a legacy video, the client has an opportunity to share their financial wisdom and help the next generation handle and invest the monetary assets received, responsibly and philanthropically.

These videos are a powerful tool that financial advisors can use to differentiate themselves, as well as help heirs appreciate and better understand the experiences of a client’s life. The use of legacy videos as part of the estate planning process is a growing trend among advisors. This will likely continue as clients seek to deepen their connection to future generations and leave a legacy that is more than purely monetary in nature.

A Bond To The Next Generation

Most financial advisors recognize the importance of building a relationship with the next generation. However, very few have a clearly defined, repeatable process for doing so. Incorporating legacy videos into your estate planning services is a highly effective method for bonding to the next generation and retaining assets.

These videos are considered a valuable resource for intergenerational wealth transfer. They give you the opportunity to create continuity and connection across generations, while increasing the potential for a family’s long-term success.

These videos can create a strong emotional connection between the advisor and the next generation. The video not only builds and strengthens the relationship with heirs, but it goes a long way in building trust. When you take the time to invest in a legacy video for a client, it demonstrates your commitment to the client and their family. It also showcases the value and personal nature of your services.

Legacy videos can also foster better communication between the advisor, the client and their heirs. They help to ensure that everyone is on the same page and your client’s wishes and intentions are clearly understood. You’re in a position to better understand family dynamics and identify potential areas of conflict. This gives you time to develop effective strategies to mitigate conflicts before they happen.

A legacy video serves as a lasting tribute to a client’s life and ensures that a client’s values and traditions are passed onto the next generation along with their wealth. Preserving your client’s memories and insight often inspires their heirs to continue that legacy in their own lives.

By helping to prevent the irresponsible or reckless spending that frequently occurs with an inheritance, advisors increase the likelihood that they can continue to manage assets for the next generation. Legacy videos often result in heirs engaging with the advisor and even seeking their guidance when making important financial decisions after a loved one’s death.

Legacy Videos As Part Of Your Estate Planning Services

The first step to introducing legacy videos to your clients is to incorporate them into your estate planning discussions. Begin to educate clients on the importance of legacy videos and how they can add significant value to their overall estate planning. This is an opportunity for them to create a video that includes messages of love, life lessons, family history and personal stories that they wish to share with the next generation.

Although you can help clients create a legacy video, to produce a quality one will require a learning curve on your part. You’re busy and this probably isn’t the best use of your time. A far better option is to collaborate with a professional videographer with experience creating legacy videos.

With professional editing and the addition of graphics, they can create a high quality video that your clients can be proud of. The video will also be produced much quicker than you could ever do on your own. They can also provide information on how the entire process works, as well as a demo of personalized legacy videos that you can show to clients.

For a simple legacy video of a single person or couple produced by a professional videographer, you can expect to pay between $500 – $1500. However, this is money well spent as a goodwill gesture to existing clients and as an asset retention strategy for the next generation.  It’s best to treat a videographer as an outsourcing service for compliance purposes because the cost exceeds client gift maximums.

 Another option is to help the client set an appointment with the videographer at their own expense. You can outline how the process works and explain that this is their opportunity to share a lifetime of wisdom and experience with their loved ones. The gift of legacy becomes far more meaningful when accompanied by your client’s personal stories of hard work, the challenges they faced, and the business philosophies that helped create and shape the wealth being passed on. This can also help heirs make better financial decisions that are more in line with your client’s values.

Offer to hold the finished video for them along with other important estate planning documents. Heirs are usually surprised and quite touched when you share a video of their deceased loved one speaking directly to them about hopes and dreams for their future. Your bond with the next generation begins at that moment.

It’s fairly common for many people to be somewhat camera shy when recording a video. A videographer specializing in this type of video will likely set up a Zoom call with your client to put them at ease prior to recording. They’ll explain the process, develop questions with your client to highlight what’s most important to them, and get the client generally more comfortable with them, and the entire process.

Because legacy videos can become a real differentiator for you and your personal brand, you may want to consider hosting a workshop on legacy videos, either in person or via Zoom. The workshop gives you an opportunity to explain how you integrate legacy videos into your estate planning process as an added value and benefit to the client and the next generation.

Legacy videos are becoming increasingly more popular not only among financial advisors but also, with estate planning attorneys. In fact, for many advisors, these videos have opened the door to estate planning attorneys as new centers of influence. Take advantage of the access these videos can provide.

For many, legacy videos are considered the Crown Jewel of modern estate planning. Use them to set yourself apart in the eyes of your client and as a powerful asset retention tool when forging a relationship with the next generation.