Perhaps I was not clear in stating that my three kids are functioning adults.
My son the eldest is a lawyer with the Ontario children's aid society. my middle daughter works part time for an optometrist and is married to a home builder.
My youngest daughter is a drug researcher in a well known Ontario hospital and is married to a fellow who sails the great lakes on a bulk carrier.
None of them ever ask for money and I don't think they need it.
Still a few thousand a year can always find a place.
All three kids started working,paper routes at around ten and have never been without some sort of job.
Sea Dog wrote: Perhaps I was not clear in stating that my three kids are functioning adults.
My son the eldest is a lawyer with the Ontario children's aid society. my middle daughter works part time for an optometrist and is married to a home builder.
My youngest daughter is a drug researcher in a well known Ontario hospital and is married to a fellow who sails the great lakes on a bulk carrier.
None of them ever ask for money and I don't think they need it.
Still a few thousand a year can always find a place.
All three kids started working,paper routes at around ten and have never been without some sort of job.
The more now, the better is how I would look at it. Our Mom and Dad paid our ways up to a 4-year degree, and free room and board at home for one until he was 35 years old. My Brother the doctor lived free in one of our apartment buildings for years too. Whatever you can do for them is fine, I'm sure they'll appreciate it, SeaDog.
I see one other poster hit on what I was saying.... For some (It depends on the size of your estate, your parent's health and a lot of other things) if they give you money NOW. then in the long run, you are far, far better off.
For example: If, as often happens to the elderly, your parents go into what is called a "Nursing Home" the home tends to take every penny you got. They may even go back a number of years and bill you for the "Gifts" your parents have given you... Thus giving well in advance means the family keeps much much more money should that happen.
In addition once an estate passes a dollar amount, the estate is taxable (Inheratence tax) this tax varies from place to place, However gifts to family members are generally NOT taxed or .. .If they are... You can give just enough that you fall OUT of the taxable bracket.. So again the family keeps much more money.
Thus, your parent's plan is a good one,,, From a tax viewpoint.
NOTE: in saying this, I'm not a tax expert, don't claim to be, but I just spent a year settling an estate (My mother-in-laws) and... Well.. I picked up a few things.. Hers was not large enough to trip the inheritance tax limits but ... before she died we were a bit worried about the nursing home (She went down hill very fast.. Spent a few months there as I had a job and cold not be with her all the time, so did Wife Our shifts overlapped and though we tried mightiness to keep from sending her to a nursing home she fell, broke her hip and needed constant care.. She never fully recovered from that.. Though it had nothing to do with her death)
Also, when I say the tax rules vary from state to state. I can not even tell you what the limits are here in Michigan.. I hired an expert and he said "Exempt"
Nothin adds excitment like something that is none of your business John is Near Kenwood TS-2000 housed in a 2005 Damon Intruder 377
We are fortunate in Canada that nursing homes cannot wipe you out.
Your "board" depends only on your income and is mandated by the government.
That is, if you have say five hundred thousand drawing four percent plus any pension income, that is how your nursing home costs are figured.
They do not take title to your home or assets.
The care is exactly the same if you are rich or poor.
Of course, anyone with big bucks can opt to stay in a resort hotel and hire round the clock care.
SeaDog,
We do much the same as you and your wife. Now and then a nice amount of money is given. It's not asked for, it's not expected, and it does feel good to do - and they are all grateful. We are lucky as many of you said that our kids are nicely educated, well married, in comfortable lives, and are raising great kids. It's our blessing to be able to give them something - and I know it's a treat for young families to find a check in the mail. What they do with it is their business.
Pat
May the road rise with you, the wind be always at your back.
PRT wrote: SeaDog,
We do much the same as you and your wife. Now and then a nice amount of money is given. It's not asked for, it's not expected, and it does feel good to do - and they are all grateful. We are lucky as many of you said that our kids are nicely educated, well married, in comfortable lives, and are raising great kids. It's our blessing to be able to give them something - and I know it's a treat for young families to find a check in the mail. What they do with it is their business.
The last time,I think it was in the fall, when we gave the kids a check, they asked why we did not use the money to buy a new(er) RV.
WA, a couple of years before my fil died, his financial guy told him to start "gifting" family members every year to reduce the inheritance taxes that we would have to pay.
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