Personal FinanceCanva | BananaStock from Photo Images and DAPA ImagesChristy Bieber
A Reddit poster who is leaving his kids $8 million wanted to know if telling his kids could undermine their motivation.
It can be difficult to know whether to tell your children they will receive an inheritance because some kids do give up their ambitions.
The Redditor can wait to see how his kids become established before sharing the details, and doesn’t have to give specific details about the amounts.
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Should you tell your kids they are on track to receive a large inheritance? A Reddit user posted this question recently. The original poster (OP) said that he and his wife have a net worth of around $8 million. They’re planning to retire soon, but don’t plan to spend very lavishly so they expect to provide a large inheritance for their two kids. The OP said that while the kids know the parents have some money, they have no idea how much. He’s wondering if telling his 18 and 22-year-old sons will cause them to lose their motivation for working hard and building their own success or if he should share the details with them. The challenges of leaving a large inheritanceThe OP is in an enviable position, of course, but he’s also in a difficult situation here, because there are definitely some situations where kids who have rich parents fail to thrive themselves because they know their inheritance will come someday. At the same time, it’s important for parents who are leaving a lot of money behind to prepare their children for how to manage it effectively. The OP also said he hopes it will be a long time until the kids inherit, but he may not necessarily want to wait to help out his children until after he passes. Young people often benefit significantly from getting a leg up earlier in life, when they are going to school or when they are trying to buy their first home and raise a family. The money can do more for them than when they are older and already well-established.The OP may decide he wants to help them out during his lifetime when they most need the money and when he can see them enjoy it. If he’s going to offer this kind of help, though, he’ll need to let his kids in the loop about the fact he has a lot of money. Should parents share details about their inheritance?Canva: golubovy from Getty Images and Leefoster from Getty Images SignatureUltimately, whether the OP tells his kids about the money or not should depend on how he thinks his children will handle the information.He may want to wait until they are a little older and he sees them working on their own goals an