Ep #416: Beyond the Balance Sheet: Advising Families Across Generations

Alan: Welcome to behind the Advisor with xypn, your behind the scenes look at the challenges and victories fee only advisors encounter as they launch, run and grow their independent firms. Join us for a deep dive into real life stories, frontline insights and the actionable strategies it takes to build a thriving, purpose driven firm on your terms. Today we're joined by Chad Holmes, founder of Formula Wealth. Chad was previously on the XYPN podcast back in 2020 22. So that was episode 339 talking about how he built a profitable fee only firm while working part time. This time we're focusing on how his work has evolved specifically into helping families navigate aging parents, succession planning and multigenerational wealth decisions. This episode is about redefining what it means to serve clients well. Planning not just for this generation, but for the entire bloodline. Chad, thanks so much for taking the time to come back on the show.

Chad Holmes: Great to be back Alan.

Alan: So it's been four short years, uh, since we spoke last. Uh, we were in the m. Just deep in the middle of COVID Uh, you were building a practice but needed to be part time uh, because of family dynamics and we've come a long way. It's, you know, sometimes it feels like it was just a minute and sometimes it feels like uh, it was a couple decades. So we're excited to dig in. So I guess catch, um, catch us up to speed a little bit. So for, for listeners, if you want to go back and hear Chad's sort of backstory and, and start of the firm and all that again, you uh, can go to episode 339. You can find that@xyplanningnetwork.com 339 uh, and so we're going to kind of start in 2022 uh, and go forward over these last four years. So uh, can you sort of take me back to 2022 and reset sort of. Where, where were you? Where was the business? Where were you from a family perspective. And then we'll we from there.

Chad Holmes: So we had a two year old daughter back in 2022 and I was working part time as a stay at home dad, um, and uh, my wife um, was a breadwinner and so we just had a good thing going and I was you know, engaged in the industry and I was really enjoying it but it was getting to the point where I was wanting to grow. Um, but I also couldn't take on just a ton of new clients and so I really wanted to move up market and so I decided, you know what, uh, why not get some more letters behind my name and. Because that always helps, right? So I go and get the certified private wealth advisor designation which really helps. Um, higher net worth families with unique tax, estate, insurance problems. And I really like the subject matter. Um, and as I'm going through that, I'm trying to find direction of where I want to take my firm. And you know, you can't just say I really want to work with high net worth families, please come find me. That doesn't work, especially when you work out of your house. And so, um, a few months into that program, um, we get pregnant with number two. And it's exciting and amazing, but I realize I am not going to be able to work hardly at all in the next year when the baby comes. And so I decided, well, I will, I will lay low from a um, financial planning client building standpoint during that year because you know, with nap time everything's unpredictable and I just can't even set meetings because I don't know when I'll be available. So I decided I'm going to start writing some blogs. Um, during this period of time before the baby's here, I'm going to do a bunch of writing and then I will uh, release it slowly over the period of, while the baby's really young and um, before daycare begins. And so hopefully by the time I'm ready to grow, I will have at least a name out there. And so it's all right. Well what problem do you like solving? And one thing that I kept coming back to was I was blessed enough to be able to serve both my parents and my grandparents. And um, family's not in the ultra high net worth space by any means. But what was really interesting is that I'm you know, trying to minimize taxes for everybody and do investments. And my grandparents are all in um, fairly low tax brackets and they're just taking required minimum distributions and a little bit of pension and you know, my parents would then inherit IRAs and they're still working and, and don't plan to stop and they're in a very different tax bracket. And I'm stepping back and challenging, okay, why, why am I minimizing this generation's taxes when for the bloodline, for the generation, the, the family unit, it's actually going to increase taxes by the end of it. And so I start challenging a lot of the traditional financial planning, um, you know, rules of thumb and I kind of bring it to my family. I'm like, hey, I think my grandparents should start pulling a lot more out of their IRA so that NextGen inherits after tax assets. Um, and so that's just one simple example of something that I was challenging. And, and, and so I start writing blogs on different ways things people can think about planning when, uh, you're considering two or more generations as opposed to just the individual, you know, one client unit. Um, and I'm explaining these blogs to my mom and she's like, these aren't blogs. This is a book. You need to write a book. And so that's what it turned into. So I spent months, all of 20, 23, basically not allowing people to book time on my calendar and just kind of heads down writing about the book. I'd post every now and then, hey, I'm writing a book. Um, but finally the book came out and it's called the inheritance playbook, Helping your parents pass the torch, not the tax. And um, it sold over 7,000 copies already and it's still moving. Um, and I'm terrible at marketing, so the fact that it's still moving, you know, it's, it's a subject that people need. And we've all heard about the great wealth transfer that's upon us. And you know, the number keeps changing and it's all made up. When you get into the trillions, everything doesn't even make sense. So it's, you know, 80 to 90 or $100 trillion is passing the next decade or so, which is just crazy. A lot of that's passing without any proactive planning and it's just going to happen. And people don't understand that there are things we can do proactively to minimize taxes, minimize probate headaches, minimize confusion, maximize legacies and communication and understanding and inheritance. And um, that's kind of what I began to focus on with this book. And then because of the book, I've been able to be a guest and speak about this subject on, you know, a lot of great podcasts and this is another one and I'm very excited to talk about it and share with the advisors listening, um, how you can really get into helping your clients do this too, without sounding greedy, without sounding, hey, I just want you to introduce me to your parents or to your kids so that I can get more clients. You know, there's, there's ways to go about it to really help the family and help um, your business as well, but it's not done in a self serving way.

Alan: So because of the book and the speaking engagements, are clients coming to you sort of knowing this is your niche and you're the expert in this or are they finding you, hiring, hiring you and then you know, sort of then you're introducing these concepts and then maybe later on down the road they bring in their parents or their, their kids

Chad Holmes: for those conversations in the prospect meetings. Um, I do make it clear that I specialize in multi generational planning and I say, you know, you don't have to bring on family members, but I will be asking about them periodically. Just make sure, hey, if your parent passed away today, are you power. Who is power of attorney or executor and you know, like who's able to um, understand what next steps are? Do we have, do you have any idea what you would be doing? Um, or if it's the other way, you know, your children, do you have confidence that they would feel comfortable finding everything and having online credentials and bill pay and all that stuff? And um, and so I bring it up with clients probably once a year, you know, just how's the family doing? Get it and then get a pulse on things. And um, once I demonstrate, you know, there's a unique value when we're planning from a multi generational perspective. Most people are like, oh yeah, I want that, that's, that sounds very helpful.

Alan: Yeah. So can you talk about what, what does multi generational planning really mean? Because you know there's, I feel like there's you know, segments even within that around family business or leaving uh, you know, foundation type legacy and, and that sort of thing versus just like leaving a boatload of money or stocks or whatnot. Like, and obviously more than that. So like can you, do you focus on one of those areas or those, do you find that clients sort of intertwined between those different segments?

Chad Holmes: Yeah, um, I like to think of you as the client. You are the CEO of your own company. Personal wealth that, and that's a business and businesses need continuity. Um, if the CEO passes away or steps down, there needs to be a very clear plan in place. You know, I love the quote, clarity is kindness. And if we can be very open and community clear about what we want to say, um, with our family and do that ahead of time and people aren't guessing, um, all, all sorts of things. But um, this, this succession planning or continuity planning, it's designing financial clarity that survives the client. Um, most people think it's about just transferring assets, but truly it's about transferring that understanding. Like it or not, assets are going to move to the next generation either because of the will or if you're in intestate, they're Going to just move the beneficiary forms, work the trust, distribute things. But that understanding, that doesn't transfer. There's no state laws to help that move down. If the surviving spouse doesn't understand the income plan, or the daughter who's the POA doesn't understand the IRA strategies, or the heirs don't understand why the trust is structured the way it is. Technically, yeah, the assets passed and so technically the plan succeeded, but relationally, operationally, it failed. So for me, that succession planning, uh, or continuity, um, it's making sure that people aren't just inheriting money, but the map with it. And it's risk management around transition.

Alan: Super interesting. I don't think I've ever heard of an advisor talk about financial planning with clients or intergenerational planning through the lens of succession or continuity planning. We talk about that for financial planning firms and trying to get advisors to focus on what happens to your business. Um, and you're using that same language, which makes a lot of sense, uh, with your clients. Do you find that resonates? Do you have to explain that? Uh, yeah, I'm just sort of curious like, how much of this is on the, like, clients are coming to you saying, yes, I saw your blog. This is exactly what I've been looking for versus uh, maybe you having to do a little bit more quote unquote, selling or convincing of like, no, this is important and something that, you know, the work that you want to do.

Chad Holmes: I'd say for the most part, most people finding me now, it's because of, um, this, this initiative chosen to specialize in. And um, and so there's not a lot of convincing that has to be done. There are some clients I serve that are like, no, my brother is power of attorney of our parents. He's got it all controlled, you know, and they don't want anything to do with it. And that's fine. Um, but I, I do every now and then check in, be like, hey, how's the family? Does the brother, you know, is anything changed? Would you know, is there anything I can do to help or facilitate? Um, a general just question board. By the way, here's a, uh, a spreadsheet I use to help people map out all the, the assets and login credentials and, you know, where the life insurance is held and contact phone numbers and give that to your brother. He can fill it out with your parents just to make sure everything goes smoothly when the time comes.

Alan: Okay, that makes sense. So who is generally your actual client? Like I guess, what, uh, do you generally work with sort of the sandwich generation that has kids and parents? Are you generally working with the parents like, or all the way down? Like, I'm just curious, like who, who normally is the one hiring you first off?

Chad Holmes: So it does go both ways. I have the uh, group in their 60s and their parents are in their 80s or 90s and I have the group that's in their 70s, mid-70s and they're helping introduce kids and getting them comfortable with things. And so it does work a little differently. Um, I like to household the fee structure in such a way that um, I do require, if we're going to work as a family unit, that you have to have power of attorney over your aging parents. Because an XYPN's compliance group actually helped me draft my advisory agreement. I've had several XYPN advisors reach out to me when they, when they heard about this. They're like, hey, how'd you get the agreement to where you know, the lower generation has control and to sign off on that higher generation. Um, and so it's done in a way that, you know, you want to say the family unit or the bloodline is the client. But, but truly it's going to be the one that's um, willing and able to take charge at this time. And as long as every. We're very open and honest about and even with siblings, which it does make it hard when there's siblings coming in. My, the dream client is an only child. Right. Um, but when they're siblings and I do have some family unit where I've got all the siblings. But um, what I, what I really want to make sure happens is that there's. They never hear the phrase, well, that's not what mom and dad would have wanted. And it. Well, yeah, they did. They told everybody but you because you couldn't hear it. You know, we need to be very clear about how this family intends to operate and what my role is. Um, and it does complicate things for me because I want to prioritize that main client. But I can't do that. I really have to stop myself and very consciously acknowledge. Okay. Nope. This when you know, nothing, ah, shady can be happening or considering the different tax brackets of the siblings, we need to be really aware of what every planning strategy we implement, what the ultimate effect is to the, to the bloodline.

Alan: Yeah, Ah, that, that was something that was top of mind for me when thinking about the, the interesting challenges that you face. And that is, you know, uh, some listeners may know back, back when I was an advisor. I was a certified, uh, divorce planner. Uh, and so we are cdfa and we were the, you know, sort of a financial neutral. We didn't represent any either party. We joked that we, our goal was just to keep Uncle Sam from getting uh, or basically be sure Uncle Sam gets as little as possible. Yes. Uh, and so we sat in the middle. Is that your model where you're sort of serving as the neutral for the family? Your goal is minimize taxes, maximize transfer. But you have to represent one of the clients, right? Because the client agreement, I would assume. So how does that like just the. I guess some of that's just like legal structure. Like how does that actually work and sort of how you position yourself in that relationship.

Chad Holmes: That's why I really, if this is going to work, I do require that one generation has power of attorney over the other.

Alan: Okay.

Chad Holmes: Um, and that helps a lot because otherwise it could look a little nasty. Hey, I need you to pay more taxes right now because it's better for this other person. But if there's power of attorney involved, that really creates pathways, um, for opportunity.

Alan: Quick pause. Behind the Advisor isn't just about inspiring stories. It's about real support. So we're taking a moment to share a few gems from the Advisor's toolkit to help you grow, save time and make life a little easier. Stay tuned for some real life resources and then we'll be right back. Are you ready for a deeper connection with the stories and strategies shared on behind the Advisor? Subscribe now@joinxypn.com BTA and you will get first access to every new episode, plus bonus content that takes you behind the scenes of each episode delivered straight to your inbox. If you found that tool useful, hang tight, we've got more coming your way. We're pulling more tools from the Advisors toolkit to help you work smarter, connect deeper and save serious time. Stick around, there's good stuff ahead. How are intergenerational planning is so fascinating to me too, but particularly when you are working with both, uh, you know, both age groups, uh, you know, with the clients and maybe their heirs or they are theirs, whichever. Um, but just how you navigate differing values. So in CFP school, right, we all learned about like what happens when you uh, know one client wants to pay for their kids college and the other client doesn't and we've got to navigate those like different values. Well you, you've taken that and like exponential made that exponentially more complex because now we have, I mean it could be dozens, but I mean, at least 3, 4, 5 people whose values and all of that you have to navigate. So how do you approach, you know, I guess, yeah, uh, navigating sort of the difference in values, difference in opinions, difference in, in hopes and dreams between those various, uh, sort of errors of client or tiers of clients, if you will.

Chad Holmes: Yeah. Um, we've had family meetings. I've done, um, most meetings are done just individually with each couple. Um, and then a lot of times when, when the aging parents are too old, they, they just kind of stop doing meetings altogether. Um, and they just let, you know, the kids take over. Um, but being a facilitate, you know, I'm not a family therapist. I think that would be a great skill set for me. Um, so it's a skill I have to work at. I don't have a ton of tips and tricks on that other than I, I view myself as an educator. And so if I can highlight benefits and values of uh, different planning opportunities, people tend to just fall. I mean so far it's, I don't have a huge practice or anything, but people will tend to just fall in line agreeing, uh, yeah, I do want this thing over here, but I see the value of this path and so so far it has worked out really well where um, these family unit. And maybe I'm just naturally attracting families that are already wanting to work together.

Alan: Maybe there's a little bit of self selection bias there.

Chad Holmes: Families can be nightmares, of course, but so far the families I've been working with, it's been really much a teamwork. Hey, let's tackle this together. You know, you're not the enemy. The problem is the enemy. And we need to come together to maximize mom and dad's legacy.

Alan: So are you willing to work with those families that aren't, aren't there yet, that there, there still is a lot of conflict or a lot of dysfunction or is your service really geared and ideal for folks who have come to the realization they need to, they need to get on the same team to get through this.

Chad Holmes: Yeah, I'd absolutely be, uh, willing. And it's, it's not always, you know, rainbows and butterflies. There, there have been some conflicts, but it's never been something crazy that I have heard about from other, you know, uh, probate, settling with family stories, nightmares and things like that. But um, I, I'm here to help and I really like educating people and showing them the power of proactive planning because at some point there's no more levers to pull on multi generational, you know, mom and dad hospice or, or dementia. Something's going on. And people come to me last. That's been my biggest problem is people come to me when it's too late. Um, they come and say, hey, you know, a few months ago somebody, hey, I read your book. My sister's on hospice and she's got a 30 million dollar estate. And um, she's never been married. What can we do? And it's, we're out of time here. I mean this stuff should have been done years ago. Um, but. And then another recent story of a family, um, came on and the attorney had drafted power, power of attorney documents for the children, um, a couple years ago. And they were, they did not have the expanded gifting powers, so they could only gift $19,000 a year or you know, whatever the current year would be. Um, and the dad has again, probably 30, 40 million dollar estate and they're wanting to do intentionally defective grantor trusts and you know, all these complex strategies and they can't do the dad's completely lost capacity, um, to can't give them more than $19,000, which is a barely a drop in the bucket.

Alan: Really. Interesting. Yeah, I mean, I imagine that's uh, you know, we all think we have a lot more years, uh, that we'll deal with this in the future. And um, unfortunately those situations do seem to come on quickly. It's like all of a sudden it, you know, one day it's okay and the next day it's not. And so, um, so I guess as you're thinking about your clients, like if you think back, let's say over the last year, can you tell me about a client that, that came to you that was just like the ideal client, like the ideal scenario that. And, and by ideal I mean like, this is your sweet spot, this is your expertise, this is where, this is where you're at your best. And just like what, I guess what if you think about that client, like what brought them to you and how did you, I guess walk me through your planning process for how you engage with that client and then, you know, the parents or the kids and sort of how that went.

Chad Holmes: Uh, one of my favorite clients came on in the last year or so and it was from, uh, they heard about my book on one of the podcasts I was on. They read the book and they called me. Um, and they are of the ultra high net worth space and he has been handling the investments forever and he's just done really, really well at it. And uh, the wife is, they're in their 70s. The wife has just let him do it this whole time and has not been super involved. He is, um, he's not, he's not dying. But uh, I don't think he's as healthy as the wife. And so they brought me on because he wants me to hold her hand when his time does come. And he wanted to connect with me while he's still fully with it. He's still working actually. Uh, you love the ultra high net worth person in their 70s that's still working just for the love of it. Um, give them back to the community. They're wonderful people. But um, he was worried about his wife and they're a blended family and there's kids from different marriages and their own. And so um, we are doing advanced gifting strategies and uh, a lot of really cool things around making sure there's a step up in basis. And so there's just unique opportunities we've been able to implement. And it's all because. And he's still, he understands tax strategies, he understands everything I'm doing and could probably do it all on his own, but he knows that someday he's not going to be able to. And that's not when you find an advisor because there's nothing to communicate. Because if he can't communicate, the wife certainly doesn't keep uh, up with it. And so they're just wonderfully kind people. And he's just worried about that and the transition and the family. And by getting me on the team early on, um, and I did encourage them to have a family, you know, gathering to discuss some things and let the children know kind of what's up. And I have been introduced to some of the kids, not all of them yet, but um, it's been, it's been really nice and, and the wife has texted me just um, asking me questions here and there. And um, I feel like I've already gained their trust even though they haven't been clients for roughly a year now. Um, and it just makes me feel good, honestly, like just to be that trusted, uh, extension of the family that's going to help them through things and it's, it's meaningful work.

Alan: Um, so, so do you attend the family meetings or facilitate them or. It's more of like preparing, you know, preparing the, the parents to, to facilitate their own meeting.

Chad Holmes: I would love to, I have not yet attended one. I have given advice. I know I asked chat to be to you, hey, give me a script for a family meeting and I'll just kind of send it over um, to, to families and um, they've used. People tell me it's a helpful guide. Um, nothing, nothing too crazy. But it, not, not every family wants to disclose how much they have yet. Um, and money in our culture is such a taboo topic. People don't want to, you know, mention their finances. And it's always been like that. And if we're not doing that then we're being inefficient with our planning. And so there's, there's a line somewhere that, that has to be crossed so that we can get to that next level of planning. Um, but you know with, with money comes all these emotions of, of embarrassment or pride or fear of being taken advantage of or what if they think they're going to get all this money and I go into long term care for 20 years or something crazy and then there's no money and I told my kid that they're going to get a lot and um, and, and then I've, I failed them. And you know there's, there's just so much wrapped into that money conversation and everybody wants to, is different and unique in the way that they, what they want to share with their family. Um, and so it's my job to help them be prepared before that meeting. Be like what, what do you want them to know? Is there any limits? And then um, how do we go about those limits without a total surprise but also letting them, hey, I'm not ready to disclose this part yet. And I think just having healthy conversations is a really powerful move.

Alan: Yeah, I mean it's like not the antithesis but uh, what comes to mind is the book Die with Zero which I'm a big fan of many of the concepts and how it challenges sort of traditional financial planning. But also I know a lot of folks have read that book and been like this is, this is not how I want my, you know, these aren't my values. And so it sounds like the sort of typical conversation you're having is not a die with zero. How do I, how do I get rid of all this and just leave my kids with, you know, go ahead and give them whatever I'm going to give them. It's like no, like there's, there's this massive, potentially massive amount of money, life changing money. Um, and I'm not ready to talk about it. I'm not ready to share everything. I'm not ready to just give them the money. And, and that's a lot to, to have to work through that. A, ah, textbook and curriculum, uh, can't prepare you for.

Chad Holmes: Yeah. And, and then there's also the. Okay, well what if the next generation. So Gen 2 is super successful. Um, or at least one of the siblings is. Or, you know, do they need this inheritance? If not, you know, disclaiming an inheritance enables it to go to generation three without it being a gift. And so there, there's steps to, that we take to make sure. Okay, if this isn't going to change your life and you're, you're totally fine, you know, a couple hundred thousand dollars to your kids in their 30s now or, you know, that that's life changing. You know, that's where the needle really moves on effect. Um, and so there's, there's just different family dynamics that every family has that we have to evaluate. It would be nice if there's a flowchart, but, um, it's also unique.

Alan: Yeah. I know some advisors are hesitant to get into a niche because they're worried they'll get bored because they'll be seeing the same client over and over. And just the way you're talking about this, like, we know no client is the same. But man, when you talk about, you know, intergenerational planning, clearly, uh, the skill set that you need and the information and education, all that is the same. But what, what's coming into the room. It's just, it sounds like it's night and day sometimes it's wild.

Chad Holmes: Yeah. And I, you know, I keep, you know, I love.

Alan: Right.

Chad Holmes: Uh, capital and some of my financial planning tools, but a lot of times I have to step out of that and challenge. Okay. What truly makes sense here because. Right. Capital doesn't really allow you building in. Not the way that's effective anyway. Uh, truly, uh, planning all of the family unit together.

Alan: Yeah. I was going to ask like, how you're doing the logistics of even like tax planning. You were talking about like, you know, using up tax brackets with Gen 1 and passing Gen 2, maybe Gen 3. Like, is there a tool that allows you to do that or is this like Excel spreadsheets at this point?

Chad Holmes: Yeah, I say pen and paper, but it is Excel spreadsheets because. Because I really big on. I don't care if we get, you know, exactly to this dollar amount or that, you know, that's a waste of time and energy. What can we do to move us in the right direction? Are we generally moving in the right direction? And that's I. And we'll do averages or, you know, round numbers of different strategies. Let's just get closer to the end goal of minimizing taxes and probate and stuff. And um, one thing we haven't even addressed yet is uh, one of the most powerful things is just beneficiary designations. Super easy estate planning tool. Um, not that probate is something that you want to avoid at all costs, but if we can simplify it, let's do it especially ahead of time like just put beneficiaries on even the joint brokerage account or individual assets, um, that otherwise have to go to the courts and all the record keeping and if you're working full time job and you got to go to the court during their open hours, that becomes a burden that could be avoided or minimized um, with, with some very simple proactive planning and that by saving people time. If we say time is money, that that's a huge value add right there.

Alan: And are you, I mean obviously there's, there's the planning side and then there's the, like I said, execution, implementation of the estate documents and beneficiary designations, all that. Are you sort of hand holding your clients through that process? Are you, do you have like attorneys that, that you really like to work with that you'll outsource to that keep you in the loop? I'm just curious like how you're actually navigating the, the implementation of much of the planning that may be outside the scope of financial planning.

Chad Holmes: Yeah, um, you know the, the financial planning solves the numbers stuff, the multigenerational planning. I've had to get good at the people stuff and, and it's, it's the people that can really mess up plans and estates and things. And um, that you know, there's the phrase markets, uh, recover, families sometimes don't. And by getting involved, uh, I know I do not have a specific lawyer contact that I, that I use consistently because I do serve people in different states and um, but a lot of times they'll have one. And I'm very, I'm in good relationship with all of my clients attorneys. We have worked together and, and I bounce some ideas off and um, they educate me on some things, I educate them on some things and it's been a really good working relationship and I also work with their clients CPAs because I don't file taxes but I do help with tax planning and so um, you know, course holista plan. Yay XY for adding that um, to, to our resources. But um, you know, just being very helpful and proactive with communicating with the cpa, uh, has been appreciated from everyone really. Um, I Think. Yeah, I think that answered your question.

Alan: So I guess how do you feel like you've changed in these last three or four years? You found, you know, you, you had a second kid, you've introduced, you know, you've have found this niche, you've int these new service models. Like how has your perspective maybe as an advisor shifted as, as part of these changes and sort of the evolution of your, of you and your practice,

Chad Holmes: multigenerational um, planning forced me to stop just being a portfolio manager and start being a family strategist. When I focused on the primary client, my job was the traditional asset allocation, tax efficiency, distribution stuff. Um, and that's all very important work, but it is incomplete. Once I stepped into the multi generational side, I realized the real risk isn't in the volatility that we know and can kind of plan around a little bit, but the real risk is that transition. So now my role includes preparing the spouse that's never been involved before and educating the adult children, anticipating behavioral landmines from various siblings and cousins, and coordinating with estate attorneys and CPAs and um, designing tax strategies with that next generation in mind. It's a very different level of responsibility that um, I've been challenging myself to constantly come at from a different angle. And are we thinking about this from the big picture? Keep stepping back a little further and, and looking at it again. Um, it's just different way to plan.

Alan: So what advice do you have for uh, for advisors who are listening to this and they think like, this is the type of work I was made for. Like are there, are there things that you would say like make someone a good planner in this niche versus maybe it isn't the right fit for them? And how would you recommend they go about sort of uh, becoming enough of an expert to actually do this type of work?

Chad Holmes: Yeah, if you want to incorporate multi generational stuff, you don't need a whole new service model in your practice. It really is, it's going to be too questions and it's you, um, can ask your clients if something happened to you, who would step in and help your spouse or handle your finances and then are you confident that that person could step in quickly find all your assets, your bills, your passwords, your insurance policies, your deeds and all that stuff? You know, we're not leading with let's bring your kids in so I can build a relationship with them because that sounds very much asset retentiony. Um, so instead we say things like might make sense for them to meet me once just so they know who to call if they ever need to. And that's, you know, you're more family protection there. If your mindset is I need to lock in these kids so that I don't lose assets someday the clients are going to feel that, yeah, m, if your mindset is I want to reduce chaos for this family, that energy flows through to the family as well. And ironically that way helps retention a lot more when they feel that you're coming at it from a true sense of desiring to help.

Alan: This may be a bad metaphor, but I mean, what comes to mind when you're talking about that is like you ever try to use somebody else's Excel spreadsheet? It's like, I mean it does great one, you know, it does the thing you want it to do, but like you don't understand it. And so it's like at some point someone is going to have to do something with an estate. I mean it just, it, something will happen and it is always easier for the person who made this, the uh, the spreadsheet to manipulate it and do what needs to be done versus, you know, sort of getting handed that in the, at a time where ah, we're not thinking straight and we're grieving and all of that. So um, yeah, it's a, it's a lot to, to work through with your clients.

Chad Holmes: Yeah, I built out, like I mentioned earlier, that it's a table, it's got several tabs on it, a ah, spreadsheet. But there's, I specifically did not put in formulas in it. It's just information gathering. Because a lot of times when clients will see a spreadsheet. To me, I live at a, one of the reasons why I name my company Formula Wealth. Um, but uh, the, the clients a lot of times hate spreadsheets. And so I'm like this is, you can just print this out and handwrite in. These are just a good way to identify and gather information, get contact information. It's your family roadmap, which is just a wonderful love letter you can give to, uh, your survivors.

Alan: Um, and fantastic.

Chad Holmes: It's been very powerful.

Alan: Well, thank you, Chad for coming on the show and giving us an update on how things have evolved for you and your practice. It sounds like, uh, you know, you've really leaned into this, this new niche and um, there's a lot of folks who need help in this. I, I, I doubt you will be, uh, looking for new clients. I suspect your practice will continue to grow without that. So, uh, thank you again.

Chad Holmes: Thank you and thanks to everybody at XIPN for all that you do to enable me to do what I do

Alan: well. Thanks for hanging out with us on behind the Advisor. Want more bonus content from this episode and future episodes? Subscribe to our email list@joinxypn.com BTA Remember, it's all about helping clients and people live their best lives here at xypn. We'll catch you on the next episode.