Parents of Grown Offspring (POGO) offers constructive, supportive strategies for family issues.
In this issue of POGO I take a look at intergenerational money matters: parent to child, grandparent to grandchild, and the dialogue around inheritance. For people over 50, our preoccupation with money issues runs second only to (and sometimes surpass) health issues. In my research I found that the two common denominators for successfully navigating the rocky shoals of wealth transference are having a strategy and communicating it effectively. I’m happy to share what I learned.
To get us started, I cover Giving Money to Children: When Excitement Becomes Expectation. Here, we’ll find out from the experts that the best way to do it is indirectly, irregularly, and for specific purposes.
Next, I look at The Bank of Grandma and Grandpa. Many grandparents feel it is their prerogative to spoil their grandchildren, but the experts fear they may be overdoing it, sometimes putting their own financial health in jeopardy.
Finally, I provide advice from a financial adviser on talking to your adult children about their inheritance—now. Not every professional would agree with this point of view, but I thought it was worth hearing why one, at least, wants us to let the kids know what they can expect when the will is read. Money: It’s No Secret and make up your own mind.
Sending warmest regards,