How much money would this family need to be able to raise my daughter if I die?

[Anonymous]

Even if you leave the kids to the wealthy family, you should still leave a trust for your kids for their childhood and young adulthood

[Anonymous]

Anonymous wrote:Why do you think they need another bedroom? Kids share bedrooms all the time.

NP amd that may be true but if my kids now have their own rooms I wouldn't be crazy about them sharing rooms woth each other or another child I adopted. That's just to say I wouldn't eant to downgrade their current lifestyles because I adopted another child.

[Anonymous]

Remember your child would be the beneficiary of your Social Security which might be hight than you think.

[Anonymous]

There’s more to this picture that needs to be factored in. How much equity is in your home? What are your retirement funds looking like? Taxable investments! What would the social security pay out to your kids look like?

Our term ran out and we are not renewing it. At this point out kids are 13 and 16. If we both die suddenly our employers plan would kick in. That would pay out 750k. We then have our house and retirement. At this stage in our lives it would be a gigantic payout, too much really.

[Anonymous]

I’d set up a trust for life insurance and specify what you want the funds used for.

[Anonymous]

Anonymous wrote:You presumably have other assets right? If you need $1 million that doesn’t mean you need an insurance policy for $1 million. Count the value of your house, any retirement savings in 401ks, and social security benefits as well.

This. Your house would be sold, and the proceeds go to a trust for you kid. That can be for when she's older.

So you want to think about the cost to their lifestyle, mainly how to be able to go a bit bigger. I'd think $500k would be help anyone upgrade a house, a car, and support another kid for the 15 years.

[Anonymous]

What an odd question OP. Are you dying? Have they agreed they will take your daughter in?

[Anonymous]

If college is paid for, I'd say somewhere between 500 and 1m, depending on current lifestyle.

[Anonymous]

Anonymous wrote:What an odd question OP. Are you dying? Have they agreed they will take your daughter in?

This is not odd. Increased my life insurance to 800k as soon as my first was born. So did my ex spouse. How much to put into a trust and who to live with and who is a financial trustee are all normal questions. I do not come from money. But I am smart enough to have figured this out.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Why do you think they need another bedroom? Kids share bedrooms all the time.

NP amd that may be true but if my kids now have their own rooms I wouldn't be crazy about them sharing rooms woth each other or another child I adopted. That's just to say I wouldn't eant to downgrade their current lifestyles because I adopted another child.

Huh, interesting. I would have no problem with it. This adopted child lost their parents, their home, everything that made them feel safe and secure. My kids could go out of their way for a family friend whose gone through a tragedy. Also, interesting you think that sharing a room is a downgrade. I have four kids, and two share a room. They are in HS and MS and still love it. Any time I've offered to separate them, they say no.

[Anonymous]

2 new cars seems like a lot. We have three kids and no cars…

[Anonymous]

Anonymous wrote:Good for you for doing this. Make sure to follow through. I am loving my 38 year old self (Right now 50).

This is rare but does happen. I just was diagnosed with terminal cancer…I have a 30 year 1.2 million policy. (15 years left appx on policy). Kids are late teens.

I cannot tell you how calm I feel knowing my wife and kids will be fine financially. There are other assets for wife’s retirement.

Sorry man. Good on you for planning ahead. I hope the rest of your time is meaningful and peaceful.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Why do you think they need another bedroom? Kids share bedrooms all the time.

NP amd that may be true but if my kids now have their own rooms I wouldn't be crazy about them sharing rooms woth each other or another child I adopted. That's just to say I wouldn't eant to downgrade their current lifestyles because I adopted another child.

Huh, interesting. I would have no problem with it. This adopted child lost their parents, their home, everything that made them feel safe and secure. My kids could go out of their way for a family friend whose gone through a tragedy. Also, interesting you think that sharing a room is a downgrade. I have four kids, and two share a room. They are in HS and MS and still love it. Any time I've offered to separate them, they say no.

Huh, interesting that you think siblings sharing a room voluntarily (for who knows how long) is the same as having to share your room that you’ve had to yourself. Also, there’s “go(ing) out of their way” and then there’s “altering your family dynamics suddenly and presumably forever”.

Anyway, OP. I would assume enough to keep the family you’re asking at their current lifestyle - which might mean a bigger house and bigger cars, and then additional expenses for things like activities, travel, etc. And then college/next egg as you would prefer for your daughter.

[Anonymous]

Anonymous wrote:2 new cars seems like a lot. We have three kids and no cars…

Seriously? Do you know how cars and kids work? You can’t have one kid take public transportation or walk while the rest of them drive. The family now needs at least one car that will comfortably hold 5 people. If they have a small sedan, that could be a problem once the kids are all over 5 ft tall.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Good for you for doing this. Make sure to follow through. I am loving my 38 year old self (Right now 50).

This is rare but does happen. I just was diagnosed with terminal cancer…I have a 30 year 1.2 million policy. (15 years left appx on policy). Kids are late teens.

I cannot tell you how calm I feel knowing my wife and kids will be fine financially. There are other assets for wife’s retirement.

Sorry man. Good on you for planning ahead. I hope the rest of your time is meaningful and peaceful.

Thank you kind friend. Right now targeted immunotherapy is kicking it so I’m just taking it day to day on a good run. But seriously folks as the math people say the odds of this happening (terminal illness before your kids are raised) is not zero.