Wealth Planning

Professional athletes may suddenly find themselves well off, but often their spending, saving, and gifting goals pull them in many directions simultaneously. Systematic, quantitative wealth planning that matches objectives with individual circumstances is critical in defining, evaluating, and realizing the athlete’s financial blueprint. The preferred methodology is combining behavioral goals-based investing with the efficiency of “modern portfolio theory,” which can reinforce each other symbiotically: The key is to separate core-capital requirements—what the athlete will need to support his lifestyle—from excess capital, which can be put to discretionary uses. Working with an advisory team of professionals that includes an investment expert will increase the likelihood of the athlete satisfying both his needs and wants—or, conversely, deferring some of his goals until certain milestones are met.

ABSTRAK Wasiat dalam undang-undang Islam merupakan satu konsep yang tersendiri dan berbeza dengan undang-undang sivil. Ketidakfahaman masyarakat Islam mengenai hukum dan prosedur wasiat merupakan sebahagian punca wasiat tidak dipraktikkan secara optimum dalam perancangan harta orang Islam dan seterusnya menyebabkan isu harta pusaka tidak dituntut masih berterusan. Justeru, makalah ini memfokuskan kepada situasi pewarisan harta yang perlu kepada wasiat dan sudut pelaksanaannya. Negeri Selangor sebagai negeri pertama di Malaysia yang melulus dan melaksanakan undang-undang wasiat dijadikan sebagai rujukan. Skop makalah ini dihadkan kepada peranan Majlis Agama Islam Selangor dalam menyediakan perkhidmatan pengurusan wasiat yang berpandukan Enakmen Wasiat Orang Islam (Selangor) 1999 (No. 4/1999) dan Kaedah-kaedah Pengurusan Wasiat Orang Islam (Negeri Selangor) 2008 (No. 13/2008). Untuk tujuan tersebut, makalah ini akan menghuraikan konsep wasiat dalam undang-undang Islam dan peranannya sebagai instrumen perancangan harta yang berkesan. Makalah ini menggunakan pendekatan analisis dokumen dan pemerhatian terhadap pelaksanaan wasiat di Majlis Agama Islam Selangor. Wasiat sesuai dijadikan sebagai instrumen perancangan harta. Namun, hal ini memerlukan beberapa pindaan kepada undang-undang yang sedia ada seperti yang dicadangkan dalam makalah ini. ABSTRACT Bequest (or will) in Islamic law is a unique concept and quite different from the civil law. The misunderstanding among Muslims community about the law and procedures on bequest is part of the reason why bequest is not practiced optimally in the Muslims estate planning and resulting in the issue of unclaimed inheritance is still unresolved. Therefore, this article focused on the situations of inheritance necessary to the execution of wills and the way of implementation. Selangor as the first state in Malaysia to approve and implement the will substantive law bequest be considered as a reference for this article. The scope of this article is limited to the roles of the Selangor Islamic Religious Council in providing the will services based on the Muslim Wills Enactment (State of Selangor) (No. 4/1999) and Rules of Wills Management (State of Selangor) 2008 (No. 13/2008). For this purposes, this article will discuss the concept of a bequest in Islamic law and its roles as an effective wealth planning instrument. The approaches used in this article are based on document analysis and observation on execution of bequest conducted by Majlis Agama Islam Selangor. Bequest (or will) is suitable as an instrument for property management. However, to accommodate this instrument, amendments proposed in this article are needed to the existing law.

The supply of hibah in wealth planning began to grow with the presence of various institutions offering hibah such as Warisan Mukmin, Wasiyyah Shoppe Berhad and As-Salihin Trustee Berhad. The diversity product of hibah in various institutions creates confusion in society and whether the implementation is able to realize the wishes of the grantors in particular. Hence, this article is written to look at the diversity of hibah management patterns in institutions. This study uses qualitative method with document analysis and descriptive approaches. As a result of the literature review, the authors found that there was a gap in the study of hibah management in various institutions.Keywords: Various, wealth, institutions, hibah, management.Abstrak Penawaran produk hibah dalam perancangan harta mula berkembang dengan wujudnya pelbagai institusi yang menawarkan produk hibah seperti Warisan Mukmin, Wasiyyah Shoppe Berhad dan As-Salihin Trustee Berhad. Kepelbagaian produk yang wujud dari pelbagai institusi menimbulkan kekeliruan pada masyarakat dan adakah pelaksanaannya mampu untuk merealisasikan hajat pemberi hibah khususnya. Justeru, artikel ini ditulis bagi melihat kepelbagaian corak pengurusan hibah di institusi-institusi yang menawarkan produk hibah. Kajian ini menggunakan kaedah kualitatif dengan kaedah analisis dokumen dan pendekatan deskriptif. Hasil dapatan daripada tinjauan literatur, penulis mendapati bahawa terdapat kelompongan dalam kajian mengenai pengurusan hibah dalam pelbagai institusi. Katakunci: Pelbagai, harta, institusi, hibah, pengurusan.

The purpose of this paper is to develop new instrument that measures the Islamic wealth planning concept based on the Islamic literature. The concept was conceptualized and transformed into an instrument based on two methods, namely experts’ validity (using Lawshe’s technique with eight Malaysian certified Islamic financial planners and two representatives from the official Islamic religious departments in Kedah and Perlis states/Malaysia) and focus group session with seven experts in several related areas, i.e. Islamic philosophy, Islamic finance, and Islamic financial planning. This paper used a quantitative approach using questionnaire. The developed instrument was then distributed to 120 respondents to further improve its validity and two analyses were performed: reliability analysis and exploratory factor analysis. The finding of this study is a new validated instrument for the concept of Islamic wealth planning which contains two main sections, i.e. worldly financial planning and hereafter financial planning. The first section consists of income/investment planning, retirement planning, education (for the individual) planning, and Takaful/insurance planning, while the second section consists of education (for his/her family) planning, Faraid planning, Wasiyyah planning, Zakat/taxes planning, Hajj planning, Hibah planning, Waqf planning, and charitable financial planning. This paper contributes to the existing scarce studies in the area of Islamic wealth planning and management. In addition, this study contributes in transforming the Islamic wealth planning concept into a measurable instrument that can be used for several parties such as Islamic financial planners, high net worth individuals (HNWI) as well as middle class individuals, Islamic financial institutions, and researchers. 

Douglas Sinclair considers the pros and cons of the foundation as a wealth planning strategy, and tax implications across the UK