Relationships Matter to Generational Health

Published on July 11, 2022

Relational health in a family is of first importance if they are to succeed across generations.

Often, though, relational health gets placed behind the transfer of financial wealth. When it comes to passing down wealth, families immediately think of professionals such as lawyers, CPAs, or CFPs. The vast majority of money spent on wealth transfer goes to build the financial structures of an estate plan, with little spent on improving a family’s relational health.

Skilled financial planning is valuable, but a family’s wealth lies in a whole range of less tangible capital: spiritual, social, intellectual, and emotional capital.

If a family did a good job of passing on these other types of wealth, then the financial capital could just be a bonus. Instead, families treat financial wealth as essential, with the others optional.

If a family could only pass down one thing to the next generations, what would rank at the top of the list? It comes down to what we most want for the next generations. Is the financial piece really the most important? And if not, why do we spend so much time and money focused on the transfer of financial capital?


“If a family did a good job of passing on these other types of wealth, then the financial capital could just be a bonus. Instead, families treat financial wealth as essential, with the others optional.”


 

What Family Wealth Really Looks Like

Perhaps it’s because we have come to expect family dysfunction as the norm. We don’t expect families to work well as a team. We lack a vision for a family united around a common mission or common values, with thriving individuals contributing to the family’s success. But it’s an attainable vision, and it’s well worth the investment of time, effort, and money to get there.

Family wealth consists of much more than finances, and investing in relational health is key to a family’s long-term success. It’s in the context of healthy relationships that the spiritual and other intangible forms of capital can be transferred.


Take Action: Explore Resources Through Vyne Legacy

Come discover how you can create a legacy that lasts. At Vyne Legacy, we provide coaching, courses, consultations, workshops, and other resources for individuals and families seeking to define their vision and values. Start here to see which resource may be the best fit for you.