Parents face a tough decision when it comes to leaving an inheritance for their children.
There two schools of thought when it comes to leaving inheritances, according to Forbes in “Why Not To Leave Too Much To Your Grown Up Kids.”
It is generally accepted that when parents pass away, everything they have left will be inherited by their children. However, there is another approach to inheritances.
The second approach comes from a belief that, if children know they will receive large inheritances from wealthy parents, then they will have little incentive to make their own money. They will become entitled and lazy.
The thinking also goes that, even if the children do not know ahead of time, they will become entitled once they do receive a large inheritance.
The best solution for parents may be to take stock of the character of their own children and make a decision regarding what is best, given those characters.
An estate planning attorney can help guide you in creating an estate plan that fits your circumstances and works best for the entire family.
Reference: Forbes (June 7, 2017) “Why Not To Leave Too Much To Your Grown Up Kids.”
