Reply to Do you feel comfortable approaching your parents for help with large expenses?

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[quote=Anonymous][quote]
Exactly this. The grandparent help we received was given in life rather than waiting until death and inheritance. It's called "warm hand" giving and I definitely prefer this method and will practice this with my own children. They gave us gifts for our wedding, down payment on first house and a later gift for renovation of our 2nd house.

The wealthy parents spent the time and money to put together a comprehensive estate plan to minimize taxes and preserve wealth for future generations. Part of that plan is to pay gift-tax exempt expenses like tuition (not camps) and medical directly. They prioritized grandchildren's education and megafunded 529s in addition to K-12 tuition in order to reduce the taxable assets in their estate. They communicated the plan and ballpark figures so we could account for this in our own retirement planning.[/quote]

Just curious - are either PPs above financially successful in their own right or just living off of family money?   DH and i both came from nothing and are self-made millionaires. Most of the people in our social circle do nothing but “invest” family money and clearly live off of their parents’ money. Seems pathetic to me. [/quote]

We have a HHI of $400k, DH makes 3/4 and I make 1/4. It's important to show the kids that we work and we discuss financial topics with them often. They will inherit so they need to understand money and how to use it wisely.

We've used family money over the years to pay for extras like a bigger house, renovations, cars, travel, private school tuition. Grandparents paid school directly before they passed away. They would give us the annual exclusion amount yearly, plus tuition. We'd get ~$24k in cash and ~$50k+ in tuition payments for 2 kids. Now we take about $50k annually in distributions and pay tuition with that or cash flow from income. [/quote]

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