Inheritance for children vs grandchildren

[Anonymous]

Anonymous wrote:

Anonymous wrote:My grandfather did half to his three kids and half to the seven grandkids. Obviously each grandkid got less than each kid, but it's been great for our generation, who are buying or improving homes, paying off student loans, going to grad school, or saving for their own kid's college.

It depends on what the elderly person wants for their money. Giving it to the generation that's in their 25-40 age range is the most beneficial in terms of bettering the descendants. They will spend the money on houses, daycare, student loans and necessities. People in the 60s and 70s that inherit large amounts of money just go on large trips.

Or, like many people of that age that I know, they invest the money so that they will be able to pay for their care as they age. This way the grandchildren will not have to worry about how their parents will be cared for and what is left over will go to them.

Also, it is good to keep in mind that it is the children whom are typically helping their parents as they age, not the grandchildren, so it makes more sense for the children to inherit what is left over and then they will eventually pass their investments on to their own children when they die.

[Anonymous]

My parents are leaving their money to their grandkids (I think in the form of a 529). This is fine with me. Their estate is not huge, and my sibling and I have an equal # of kids. Both my sibling and I are financially stable, and don't "need" the money and my parents like the idea of ensuring their grandkids' future.

[Anonymous]

Leaving money to grand kids is tricky unless all kids have the same number of kids. Then you get into step grandchildren and how to include them.

[Anonymous]

Anonymous wrote:Leaving money to grand kids is tricky unless all kids have the same number of kids. Then you get into step grandchildren and how to include them.

Yeah, my parents had it all planned out and then my youngest brother got married to a woman with two kids already. I am not sure what they decided to do for their step grandchildren, but I do know they feel awfully conflicted about it (they're not sure the marriage is going to last).

[Anonymous]

Anonymous wrote:Leaving money to grand kids is tricky unless all kids have the same number of kids. Then you get into step grandchildren and how to include them.

You dont. That's how. Om the PP smwhose DHs grandma left every grandkid 1M. Of course step kids did not come into the mix. Also number of kids didn't matter. Why would it? If each kid gets an equal amount who cares if one had 4 and the other had 1?

[Anonymous]

My parents created trusts for their grandchildren at birth, they fund $25k/year, I get gifted $100k/year. Their wills are at about the same ratio.

[Anonymous]

What about grandkids born after the person dies? Or children they have who don't have kids? I think the most fair thing would be to leave to the immediate children, and then those people are responsible for any kids (grandkids) they may have (or not have).