Reply to When do you tell kids about family money?

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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]So much hoarding. Does no one ever spend a dime on things that bring joy or do you all just hoard so the next generation can hoard [/quote]

We spend plenty on "things that bring joy".

Own two homes, both worth $3M+ and both recently renovated (dont even ask how much that was), own 3 cars--most recent cost $95K, mostly travel Business class now and take 6-7 trips each year (most recent was 16 hour flight in business class---so about $8K roundtrip), gift the kids each $38K/year, also bought the recent college grad a new $40K vehicle, have about 1K bottles of wine and growing (yes we drink it, we also like adding more as we travel and explore) and the list goes on and on.  Will spend even more once we are retired (in a year or so).

Still will be leaving $5-10M for each kid possibly more (or giving the "more" away to more charities)
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Thanks for answering this OP; I was wondering the same thing. I recently projected how much we will be worth at retirement (plus what we will inherit) and realized we should consider spending more NOW. This is a great answer.

As for how to talk to your kids.... based on your answer here, I think they know. My parents started talking about it when they retired, so you could do the same. Just know, it wasn't a surprise how much money they had even though they were very frugal my whole life. [/quote]

My kids are 21 and 25---yes they know.  They always knew we didn't have money concerns, but didn't know the level until recently (when a company sale took us to a new level and more willing/able to spend more freely).  Now they know the amounts, know they will always have a fall back, know housing downpayment and their kid's college (no long term SO yet but when it happens) will be paid for.  They also know they will continue to get money now, not just when we die.  Because the impacts are much greater in their 20s/30s.  
The one out of college maxes their Roth and 401K, the other will once they graduate.  By time they are 30/35, they could stop investing and would be just fine for retirement (even without our windfall), because they will have enough to equal $5-6M+easily if they leave it in the market.  
They knew we used to be more frugal--they never wanted for anything, but knew we were not splurging on a luxury vehicle or sports car for them...they got Hondas to drive at 16.  They also know that while we (the parents) now fly business class 99% of the time, the kids only get it if price is right (or it's a red eye or very early AM flight). If they want that, they have to work for it.  Thankfully both are still very financially sound and prefer to save over just spending.

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