An inheritance that could...delay early retirement

[ERD50]

Interesting - just a thought here, but it keeps nagging at me....

You say he insists nothing go in writing. I just wonder, is this a way for him to hold up his tradition, yet, in a wink-wink-nod-nod kind of way, to let *you* 'off the hook'?

That way he feels that he can say, yep, I kept the property in the family, I can't help it if they sold it, I asked them not to. Sort of lets him wash his hands of it, but like he tried to do the right thing?

I know that is kind of trying to get into his head, and it's kind of twisted, backward thinking, but it might be it.

If you are not comfortable with that, then you got other good suggestions, sell some to cover costs, try to gift it as a park or whatever. But if it's going to be a burden, then it is not fair to be put on you. Decline the gift if you have to.

-ERD50

 

[FIREd]

I loved Nords response. I think it is a good option but will cause a rift between you and your father.

I am working hard not to create a rift between us. My family is very very close knit. It would not benefit anyone to purposedly create tensions over a problem which can be solved in my opinion tactfully but honestly. I think there is a way to make it work for everyone if we can both find an acceptable compromise.

The only problem is if your sister fights to "keep it in the family." In which case, do what you can but the ultimate response is to walk away from it and let her pay the taxes. She may be much more agreeable with that prospect. I wouldn't let a piece of dirt I didn't care about dictate my life.

She won't fight to keep it in the family. She just doesn't care about that "keeping it in the family" concept and she doesn't want to deal with the upkeep. That's the reason why my dad is giving her little RE, and the properties he is giving her are mostly not part of the "family estate" (it's mostly rental apartments acquired by my dad about 10 years ago). My dad doesn't mind her selling the rentals.

You say he insists nothing go in writing. I just wonder, is this a way for him to hold up his tradition, yet, in a wink-wink-nod-nod kind of way, to let *you* 'off the hook'?

It could be, but my impression was that if I gave him my word then it is as good as a written contract as far as he was concerned. I believe that he trusts I would not lie to him about something as serious as this.

Tomorrow I will call my dad and present him some of the ideas you guys helped me come up with and we will see what comes out of it.

 

[chris2008]

I would ask him also to get a tax expert's opinion of the amounts you and your sister would have to pay, es well as future property tax. As a parent I would make sure to give each of the kids so much of the money that at least the estate tax is covered.

What would happen if you just waive the inheritance? In some countries (like Germany) there is a mandatory minimum that a kid would be entitled to if he rejects what is provided to him by will.