A new survey suggests that many Americans are counting on receiving an inheritance to retire on instead of saving enough for retirement themselves. This has the potential to create disasters for several reasons.
Recently CNBC published the results of an inheritance survey about the retirement plans of people from several nations. The survey included 1,000 Americans and revealed interesting results, which were published in a CNBC article titled “Retirement plan workaround: Inherit enough to live on.”
It turns out that nearly half of working Americans surveyed expect to receive an inheritance large enough to meet their living expenses in retirement.
One of the big problems with this is that the older generation, the one that is supposed to be leaving these inheritances, is increasingly preferring not to leave large inheritances to their families. They prefer to give money to family now to meet current needs so they can see the fruits of their gifts during their own lifetimes.
So, what does this mean? Perhaps the expected large inheritances will not exist at all.
Even if the inheritances do come to fruition, if the money is spent for retirement then there is unlikely to be much left for later generations to inherit.
If you have children who you suspect may not be saving for retirement and instead counting on receiving a large inheritance, it might be a good idea to talk with them about what to expect after you pass away.
Better yet, visit an estate planning attorney to structure an estate plan that ensures there will be assets for your grandchildren to inherit as well.
Reference: CNBC (May 4, 2015) “Retirement plan workaround: Inherit enough to live on.”
“On the threshold of retirement, we finally decided to quit thinking we could self-prepare the requisite documents. We had previously had only a very simple will. We needed the necessary legal (including updated will) & health care docs but didn’t want to deal with the time & complication of legalese. Cindy made the process relatively painless. She took the time to explain and answer questions without trying to upsell services. We were done in 2 meetings plus the reading of emailed drafts. In addition to preparing the documents, Nelson Eldercare will be there when our adult children need advice on executing the plans we’ve put in place.So glad it’s behind us and would recommend Cindy and her helpful staff.”
Cindy and her company treat their clients like family. Nelson’s offers clear, direct, and honest guidance in planning for your families security and future. No one wants to actively sit down and make these decisions, but Nelson’s makes this process seamless. I was so impressed with their willingness to answer all questions big or small. So glad I made the decision have them help my mom and dad and now me. You can’t go wrong with Nelson’s Elder Care Law.
The very best elder law attorney and staff anyone could ever ask for! I have referred a number of clients to Cindy and she never disappoints. She is kind, caring, and extremely thorough in making sure everything is completed as it should be. I highly recommend Cindy for anyone needing lawyer services; she truly goes above and beyond for every client she helps and has had a huge impact in so many peoples’ lives. Thank you, Cindy and staff, for everything that you do- I’m so glad to know you!
I heard Cindy’s presentation at a Senior Luncheon at my church, and was very impressed. She helped my daughter and me understand many aspects of elder law. Josh has also been very helpful in my planning to enter an independent living situation . I have told many friends about them.
Cindy and the Nelson Elder Care Law team are trustworthy and helpful. They are the experts in elder care law. At Leaf Cremation, we entrust our families to the care of the Nelson team when their services are needed.