I get your point about if the parent is dead. Personally, I (and lots of other people) am likely to get meaningful inheritances way past 50 and I have been on the receiving almost no gifting to date. People have reasons to not gift to thinking they may need the money themselves, not running afoul of Medicaid rules, not wanting to liquidate and pay taxes on highly appreciated assets/preserving, still using a physical item.+1if you wait decades to give it to them, the money will double a couple times.
better if you, and they, get started spending it sooner.
I did not inherit anything meaningful. If my parents had made me wait until age 50 for an inheritance, by which time I was in good financial shape, I would have cursed a bit and probably declined the inheritance; that would have been money I could have used earlier, and the delay would have made me resentful.
We gift our 4 kids the annual gift tax exclusion annually. The one financially immature recipient has it put into a Crummey Trust. He’s not a spendthrift, really, but he’s still naive and a sucker for a hard luck story. I hope to live long enough to change the terms of his trust (more accurately, start a new, less restricted trust), but for now it’s in a HEMS (health, education, maintenance, support) trust.
Statistics: Posted by mnnice — Sat Jun 29, 2024 9:22 pm