As the CEO of Berkshire Hathaway, Warren Buffet’s expertise is not widely considered to be in the field of estate planning. Nonetheless, he provides some interesting advice and guidance in a letter published in November of 2024.
The theme of the letter is to encourage transparency when estate planning. He provides support for discussing one’s overall intentions and estate planning goals with loved ones; especially with individuals expected to inherit, and with the people who are appointed to serve in a variety of roles. The documents should not be a surprise to anyone, Warren explains.
Regarding those expected to inherit, he states: “I have one further suggestion for all parents, whether they are of modest or staggering wealth. When your children are mature, have them read your will before you sign it.” Warren further explains that knowledge of a future inheritance may alter the current decision. Likewise, this would give the individual the opportunity to provide reason for their decisions.
He also explained that anyone appointed to positions, like trustee, agent, or executor, should be notified of such appointment so they are better prepared if the time comes to serve. Having these conversations may avoid any dispute or confusion because everyone will have a clear understanding of their responsibilities.
Warren himself is very open regarding the disposition of his own assets. Such disclosure is not just with his descendants, or the people he has appointed, but rather with anyone who stumbles upon the Berkshire Hathaway website.
While interesting, we recognize that everyone has different goals, family dynamics, and intentions, and therefore this approach will not be suitable for everyone. However, it is interesting to learn the estate planning approach of one of the richest people in the world.
If you would like to discuss establishing an estate plan for the first time or updating an existing plan, please call our office at 856-489-8388 or visit us on our website at fendrickmorganlaw.com to schedule an appointment.
