Reply to If you know you’ll be inheriting a significant amount

Forum Index » Money and Finances

Reply to "If you know you’ll be inheriting a significant amount"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous][quote=Anonymous]I think it depends on how your parents currently spend.

My mom has around $2 million and doesn’t spend the principle.  She takes the minimum distribution and then reinvests it in a taxable account.  She lives off around $75k a year without spending down principle.

She also has a $700k paid off house.  I assume this will go to end of life care.  The average stay in a nursing / end of life care facility is 2 years. We plan to hire help for her before that stage.  I’d guess that is $50k a year.  She lives in a house with a full bed and bath on the main floor.

I’d be shocked if I don’t inherit a million and plan to pay off any remaining mortgage and save the rest.

[/quote]

What sort of "help" do you plan to hire? [b]24-7 care one on one for one person is about 120-150k per year [/b]at home. That's if she is somewhat mobile. If she has to be lifted to get to bathroom or shower or into wheelchairs, the agency may make you hire two people for at least that time[/quote]

A lot of people spend a lot of money on care when it’s unnecessary.  Someone who isn’t mobile would be in assisted living or the like.  I’m talking about more of a housekeeper to make some meals, take out the trash, help move items, run an errand, pick up meds etc.  Maybe 20 hours a week.

People give all of these extreme estimates on care costs that aren’t typical.  Very few people are spending 120-150k on help in their home unless they are very wealthy.  Do you even know how little most people have saved?  My mom is an extremely frugal person and would never go along with something like that.  Most elderly people do not live for years needing assistance getting to the bathroom, 24-7 care.  That’s more end of life care.

[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics