Study: 43% won't have enough in retirement

[Rich_by_the_Bay]

If they'd had an inheritance to pass on, would you have needed it or even wanted it?

It's a fair question, but not so simple, maybe. I would have wanted the resources there first and foremost so they could have avoided the worry and embarassment of having to turn to us for help (no matter how comfortable and guilt-free we tried to structure it). But also, as the first generation in our family to jump ahead of a very modest income, I would love to leave my kids and grandkids with enough to at least make good lifestyle and educations a likelihood. We will probably be just fine for our own retirement but I've no idea how much will be left for the kids.

A final ironic post script on my parents' situation is that about a year after they died, we received a $30K settlement on a class action lawsuit against my dad's former employer. Brother and I shared it, wishing it could have come a couple of years sooner. We agreed that the folks would have been pleased to know that we were able to use this money -- covered a year of college for my son.

 

[Jarhead*]

So I guess the best approach would be for us to spend as much of it as we can...

Yeah, Yeah, Diamond Jim. The only way that's going to happen is that Mrs. Nords steps up to the plate big-time. 8)

The above smart-ass remark brought to you by Jarhead, who can identify with Rich's background.

Not that there's anything wrong with being frugal (tight as bark on a tree).

Happy Longboarding.

 

[samclem]

. . . I just think these "intergenerational wealth" reports exaggerate the effect.

As if on cue, McNews weighs in with supporting data :
http://www.usatoday.com/money/perfi/columnist/block/2006-06-26-inheritance_x.htm

Headline: Boomer inheritances shrink as parents live longer, health care costs rise

Partial text:
. . . "Inheritances are not likely to bail the boomers out," says John Rother, director of policy and strategy for AARP.

What about the trillions of dollars in wealth that boomers were supposed to receive? Experts have estimated that more than $40 trillion will be transferred from one generation to another over the next 60 years. Boomers are expected to receive $7 trillion to $10 trillion.

But the primary beneficiaries will be families who are already well-off, AARP says. Families with a net worth of $450,000 or more received nearly two-fifths of all inheritance dollars, AARP said." . . .

 

[Nords]

Yeah, Yeah, Diamond Jim.  The only way that's going to happen is that Mrs. Nords steps up to the plate big-time. 8)
Not that there's anything wrong with being frugal (tight as bark on a tree).

How old does one have to be to recognize that reference?!?

I may be able to squeeze until the buffalo whimpers (another old reference) but spouse makes me feel like a dilettante. And my legendary FIL makes us both feel like we're slinging simoleons with reckless abandon...

Happy Longboarding.

Thanks-- and we're trying to figure out how to do it with our new water-resistant digital camera... not waterproof and unfortunately not buoyant, but we're working on it.