Implementation and Estate Planning: Strategies for Successful Family Goals - Prof. Arminta, Study notes of Family Sociology

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Chapter Twelve

Making It Happen

Implementation

• Most individuals and families have too many

goals for their limited resources.

• Choices must be made and priorities

determined.

! Thus, not all plans will be implemented. ! Some may be postponed, others abandoned.

• Crisis Management alters intentions. ! Gresham’s law of planning

Strategies

• 3 Groups o ff Strategies ! Affect regulation ! Emotional reactions during the implementation phase ! Goals are blocked or threatened ! Optimism ! Pessimism ! Interpersonal ! Assertive communicationAssertive communication ! Expressing willingness to cooperate and work towards a common goal ! Problem-solving ! Self-monitoring and environmental monitoring ! resilience

Delegation

• Opportunity to help develop skills of others
• Complex activity ! Determine what you must attend to ! Realize that delegated actions may not meet your personal level standards ! Don’t underestimate abilities of others ! Good communication is essential throughout process ! Make delegated assignments easier enough to complete, but challenging and enjoyable ! Give sufficient authority ! Support and monitor all involved in implementation ! When process is completed, assess fairly and honestly.

Accountability

• Balance between responsibility and authority.
• Guidance is essential to parenting and

mentoring

! Empowerment

Motivation

• Individual actions impact outcomes of the

group.

! Conflict between self-interest and group’s interest ! Mixed-motive situation ! Delayed gratification and self-control can mediate these situations.

• II mpacted bd b y tiime ! Long-term plans are vulnerable to delays and obstacles.

Motivation

• Strategies ! Intrinsically beneficial to member ! Convinced that goal is valuable to them ! Enhances their well-being and self ! Extrinsically beneficial ! Financial success, power, image ! Enhances their social image !! AutonomyAutonomy ! Realize some self-direction is possible ! Enabling, or over-protecting has negative impact on individual’s sense of responsibility. ! Locus of control ! Belief that internal, or self has some control over the outcome OR ! Belief that external, or other forces control outcome

Estate Planning

• Distribution of accumulated assets to next

generation

• Estate planning ! Estate ! Everything he/she has accumulated to date that has va llue. ! Net worth ! Inheritance tax ! Gift tax

Estate Planning

• Wills ! Legally-qualified estate plans ! Without such plans, one is considered “intestate”. ! An individual or individuals selected to oversee the distribution of someone’s estate is the ““ executt or””. ! Probate ! A legal procedure to validate and process a will

Estate Planning

• Durable power of attorney ! Document that protects your estate if you cannot make decisions on your own behalf.
• Living will ! Health care proxy

Estate Planning

• Issues of ownership ! Joint Ownership with Right of Survivorship ! Community property ! Trusts ! grantor

Family Business Succession

• Planning for the transfer is important ! When family members are in mourning, emotions are too high to make good decisions. ! Decisions made under stress are more easily challenged.

Risk Management

• Most decisions contain a degree of uncertainty.
• Risk management ! A systematic process of identifying, assessing, managing, and monitoring risks ! Williams (2006) 3 Steps ! R i kisk Recogni iition ! Risk Prioritization ! Risk Management

Insurance

Contemporary ff amill ies use insurance as a ff orm off

risk management.

• Risks are pooled, or shared among a group’s

membership.

• Insurance companies offer policies based on

calculated risk within these groups.

• • Insurance consumers pay premiums for theseInsurance consumers pay premiums for these

policies to hedge against possible future loss.

! Deductibles ! Co-pays ! Stop-loss limits

Insurance

• Health ! Combination of hospital, surgical, and physician expense coverage ! Specialized policies available at additional cost ! Cancer, vision, dental ! MM anaged hd h ealthlth care ! HMOs, PPOs

Insurance

• Life ! Provides protection against loss of income due to death ! Beneficiary ! Term ! Wh lWhole ! Cash value ! Universal

Insurance

• Auto ! All states require proof of insurance to license for operation. ! Liability ! Collision ! CC ost it i s dd ependd entt on many ff acttors. ! discounts

Insurance

• Home ! Homeowners are held responsible for injuries of all visitors occurring on their property. ! Home insurance covers more than just building. ! Property coverage ! 80 percent rule ! Liability ! Cost dependent on ! Location ! Type of structure ! Level of coverage

Completion and Reflection

• Plans end when ! They are abandoned. ! They are modified and recreated. ! They are completed.

Decision process doesn’t stop upon completion.

• evaluation

Summary

• Implementation of a decision is the setting of a plan into motion.
• Successful completion is dependent ! The actual plan ! the motivation of family members involved ! the changing context over the time necessary for completion. ! Risk management is necessary during creation of the plan and througghout im pplementation.
• Change is a complicated process for individuals and family units.
• Flexibility and continual monitoring are necessary at all times.
• Lessons learned during the implementation process should be used in future decision-making situations.