Reply to When do you tell kids about family money?

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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]I would teach my kids about no free money even though you know there will be free money. 
I would also teach my kids about responsible spending as they start making money while in college. Teach them some investment techniques, trusts, life insurance and many more things. Expose them to reading about managing and investing. And when they do get the money, they don't go spending it frivolously. Also, teach them to find friends and partners that are not all about money, especially the spouse because there will be major friction if the spouse knows you will be getting that much in inheritance.

And I would not tell my kids they will get that much. I would not even mention the amount. If they ask, I would just say you may be getting something but I don't know how much. 
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I agree with most of this but once your kids are in their mid 30’s I think it is helpful for them to get a good sense for what might be on the horizon. This is helpful for them with their own planning for education and retirement planning. My parents never did this because their estate wasn’t large enough plus they had six children. Our kids are married, very responsible with good jobs so we can be more transparent with them than others might be. [/quote]

This^^^. We are doing it sooner.  I want my kids to know they don't have to worry about saving for their kid's education or for a massive downpayment.  That coupled with us paying for college 100% means they are already very privileged and way ahead.  But thankfully they largely save it.  We want them to be able to take a job they love, even if it means slightly lower salary, and to buy that house in the great school district that means both mom and dad have a 10-15 min commute and thus more family time.  What we don't want is for them to have no career aspirations and to waste away $$$$$ on just silly things.  But the money will always be there for education, down payment (with in reason) and medical needs.  But we already know they have great career aspirations and work hard.  They live a comfortable life and largely save save save.  
If we had a kid who wanted to spend $150K on a sports car at age 25, yet they only make $50K/year, we probably wouldn't gift them much money at that age.  But if they are earning $600K/year and want to spend on that that is their choice
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If my kid made $600k and spent $150k on a new car I’d assume he never learned anything from me. That’s not the way to build net worth. I made $900k just in dividends last year (I know this because I just completed our taxes) and I wouldn’t spend $150k on a new car. [/quote]

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