7 money afflictions from inherited wealth

One of the fastest ways to land a financial windfall is to inherit it. But for those who haven't had a lot of money before, that windfall can hold some pitfalls.

 of 9
 of 9

VIDEO ON MSN MONEY

38Comments
Feb 26, 2014 9:17PM
avatar
Last Will and Testament: "Being of sound mind, I spent all my money while I was alive!"

The most valuable legacy you can give a child is how to be an honest, self-respecting, and hard-working  human being capable of making sound and wise decisions regarding their own and the lives of their dependants.
Feb 27, 2014 12:07AM
avatar
If you inherit money and someone asks you for a helping hand, tell them that they will find it on the end of their arm.   You are not a bank unless you decide to go into the banking business.   Pay off all of your bills, pay off your house, make sure you have sufficient medical coverage and good health, Forget the big mansion.    They are a stone around your neck.   A big boat is a big pain.   Cabin in the mountains?  Only some place you have to go every weekend to do maintenance and fight the wood ants.   Americans generally use a car to get 95% of the places they go so buy a brand new one that has good resale value.  Forget the damn miles per gallon.  If you now have money, what do you care if you are paying another 100 bucks per month for gasoline unless you only inherited a very small amount of money.   You do not have to drive something that you have to put on a shoe horn.   Get a vehicle that is comfortable to drive.   Now park it at the condo you bought and enjoy your life. 
Feb 26, 2014 9:50PM
avatar
So what you are pointing out MSN is that parents these days are not teaching the value of hard work and money.  The difference between people who make something of themselves and those that don't are taught these values.  Just like those parents who shoplift with their kids present, wonder why their kids end up in jail.
Feb 27, 2014 3:40AM
avatar
This would have been a far more useful article if it talked about preparing for the taxes of an inheretance and the differences between states when inheritence and death gratuity tax come into play.
Feb 26, 2014 9:38PM
avatar
not an article so much as an advertisement for a book.  

MSN, really?  thats all you've got?
Feb 27, 2014 12:59AM
avatar
Of course there are a few not too bright jocks who got big contracts and then got taken to the cleaners by a few baby mamas and the needs of relatives and friends. The topper is that like inherited  wealth, the IRS  want their cut from those multi-millions dollar contracts and promo deals.
Feb 27, 2014 9:38AM
avatar

I've locked my childrens inheritance up in a trust fund. They will still have to earn a living but, they will have a little help every year.

Feb 27, 2014 9:42AM
avatar
Only comment I can think of is "Most of us never need to worry about this", so don't waste your time thinking about it....ain't gonna happen!
Feb 26, 2014 10:32PM
avatar
"To live frugally or in poverty is unfortunate,but to die rich is just plain stupid".
Feb 27, 2014 12:38PM
avatar
Everyone I know who inherited money or won a big jackpot blew the money in no time flat.  I also  know people who blow their paycheck the minute they get their hands on it.  I don't get this.  I budget and plan carefully.  I just  can't imagine blowing an inheritance, but people do.   
Feb 27, 2014 12:14PM
avatar
It all depends on the personality, attitude and wisdom of the person that inherits the money. My mother inherited $100,000.00 in 1985 (worth about $221,000.00 in todays dollars). She was supported her entire life by my sisters, my brother, me and my grandparents. When she died in the year 2000 she was over $15,000.00 in debt to QVC and credit card companies. She never understood the value of a dollar and so was wasteful her entire life. This article is correct that education and communication about money and finances is the key to a stable attitude towards inherited money. However, some people either refuse to learn or are incapable of learning a responsible attitude toward money.
Feb 26, 2014 9:21PM
avatar
Inherited money is the best money.  Don't have to work and can relax for life.  Sort of like Obumma has done most of his life.  I know he didn't inherit money, but he got enough suckers to bankroll him for his racist rants that he never had a real paying job in his life.  Sort of like Jesse Jacksonoff and Al Sharptonafat now that I think about it.
Feb 27, 2014 9:41AM
avatar

What a worthless article. Most people will not ever have this problem. It is the other way around. Write an article explaining how to pay for funeral expenses for relatives that may wind up unclaimed or in paupers graves. One more thing ... don't count on inheiriting anything. You may be completely cut out of the will.


Feb 26, 2014 10:28PM
avatar
You may also inherit a huge mess to deal with and a small financial sum to get you through that.
Feb 27, 2014 4:51PM
avatar
If you always spend less money than you earn you'll end up OK.  The catch is sometimes you'll have to do without things that aren't absolute necessities. 
Feb 27, 2014 12:06PM
avatar
This article was written by a person living in a studio apartment who sleeps on the floor. 
Feb 27, 2014 7:37AM
avatar
One big advantage to inherited wealth is you can act superior, criticize the poor, and worry about losing it.

Most huge fortunes are inherited. Marriages are encouraged to "others like us". And business relationships and jobs are handed to frat brothers.

The chances of you creating huge financial gain in life without parental assistance are slim. 

Unless you have about three million in cash socked away, you will be on Medicare and SS like everyone else.
avatar
Quit telling people why they are poor. They won't learn anything and will continue to blame politicians, wall street, and employers. Poor people piss away money faster than Obama lies!
Report
Please help us to maintain a healthy and vibrant community by reporting any illegal or inappropriate behavior. If you believe a message violates theCode of Conductplease use this form to notify the moderators. They will investigate your report and take appropriate action. If necessary, they report all illegal activity to the proper authorities.
Categories
100 character limit
Are you sure you want to delete this comment?

DATA PROVIDERS

Copyright © 2014 Microsoft. All rights reserved.

Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.