Introduction
A great collection is more than a reflection of taste – it is a legacy. For many collectors, art is not only a source of joy but also an enduring asset that shapes cultural memory, provides generational wealth, and creates philanthropic opportunities. Through thoughtful legacy planning, art can be structured to preserve both financial and cultural value for decades to come.
At Mercer Contemporary, we guide clients through the process of legacy planning with art, from museum placements to family foundations, ensuring that collections continue to inspire, support, and endure.
Why Legacy Planning with Art Matters
Art is unlike other assets. It carries cultural significance, personal meaning, and market value that must be carefully balanced. Without a plan, collections risk becoming a burden or being sold under unfavorable conditions. With proper planning, however, art can:
- Preserve generational wealth – passing on assets of financial and cultural value.
- Support philanthropic goals – donating works to museums or institutions.
- Ensure continuity – keeping a collection intact, organized, and respected.
- Shape legacy – defining how future generations, peers, and cultural institutions remember a collector.
Philanthropy: Gifting and Museum Placements
One of the most powerful ways art collectors create legacy is through philanthropy.
- Museum Donations – Gifting artworks to museums ensures cultural impact and public access. These donations often come with tax advantages when properly appraised.
- Long-Term Loans – Some collectors choose to loan works to institutions, maintaining ownership while contributing to public exhibitions.
- Philanthropic Foundations – Establishing a family foundation or trust allows a collection to be used for cultural, educational, and charitable purposes, extending its influence beyond a single generation.
Mercer Contemporary advises clients on structuring museum placements and philanthropic giving, working closely with curators as well as tax accountants and lawyers to ensure solutions are both culturally meaningful and financially strategic.
Art as Generational Wealth
Beyond cultural legacy, art can play an important role in wealth transfer.
- Tangible Assets – Fine art is increasingly recognized as an asset class, holding long-term value and offering diversification.
- Estate Planning – Proper appraisals and valuation ensure equitable distribution among heirs.
- Trusts & Family Offices – Collections may be placed in trusts or overseen by family offices, safeguarding artworks while maintaining control.
- Liquidity Considerations – Advisors can help determine when certain works should be retained as family legacy and when strategic sales may serve broader estate or philanthropic goals.
- Deaccessioning for Clarity – Part of legacy planning is defining which works fit the long-term vision and deaccessioning those that do not. This prevents children and heirs from facing the burden of deciding what to sell, donate, or retain – ensuring that the collection passed down is meaningful, streamlined, and aligned with the family’s values.
Mercer Contemporary partners with legal and financial advisors, including estate attorneys, accountants, and family offices, to develop comprehensive solutions tailored to each collector’s needs.
The Role of Appraisals in Legacy Planning
Accurate valuation is central to legacy planning. Certified fine art appraisals are required for:
- Charitable donations (IRS-compliant).
- Estate settlements and tax filings.
- Insurance to protect against loss or damage.
At Mercer Contemporary, appraisals are conducted by a USPAP-certified appraiser accredited by the Appraisers Association of America, ensuring credibility and recognition by legal and financial institutions.
How Mercer Contemporary Supports Legacy Planning
Our role is to help collectors translate vision into action with discretion and expertise. We provide:
- Strategic Guidance – advising on which works fit a collector’s legacy and deaccessioning those that do not.
- Museum & Institutional Access – facilitating introductions and placements.
- Cross-Category Expertise – overseeing large-scale estate appraisals while also supporting targeted donations.
- Collaboration with Trusted Advisors – partnering with tax accountants, estate attorneys, and family offices to ensure every plan is tailored and compliant.
- Global Network – coordination with curators, auction houses, and insurers.
- Privacy & Discretion – ensuring all legacy decisions are handled with the highest level of confidentiality.
FAQs About Legacy Planning with Art
Q: Can donating art reduce estate taxes?
A: Yes. Donations of properly appraised works to qualifying institutions can provide significant tax benefits. Mercer Contemporary works alongside your tax advisors to structure donations effectively.
Q: Should I donate or sell my collection?
A: It depends on your goals. Some collectors divide between philanthropy and family wealth transfer. Advisors, working with your attorneys and accountants, can help structure the right balance.
Q: How do I ensure my collection remains intact?
A: Through trusts, family foundations, or agreements with institutions, advisors can help keep collections unified.
Q: Do you only work with large collections?
A: No. While Mercer Contemporary specializes in overseeing large-scale, cross-category appraisals and legacy projects, we also support collectors planning around single, meaningful artworks.
Conclusion
Legacy planning with art is about more than financial stewardship – it is about ensuring that a collection continues to live, inspire, and contribute beyond its original owner. Whether through museum placements, philanthropic gifts, or generational wealth planning, art can define a legacy for decades to come. By clarifying which works carry forward and deaccessioning those that do not, families can pass on a collection that is streamlined, intentional, and meaningful.
Mercer Contemporary provides comprehensive legacy planning, fine art appraisal, and art advisory services for collectors seeking to preserve their cultural and financial heritage. Working closely with accountants, attorneys, and family offices, we ensure every plan is strategic, compliant, and tailored to your needs. To learn more or to arrange a private consultation, please contact us.