Do you include future inheritance projections as part of your financial planning?

[faleroy]

I stand to inherit money from my family. Most people do. I don’t know how much exactly or when as things change in the future, but even a few thousand dollars is enough to make me feel more comfortable about my financial future.

Of course I’d like my family to be around as long as possible, but I want to proactively anticipate a different financial future. Too many people post on here “I inherited $X from X what do I do?” and I want to avoid a situation where I’m not prepared.

 

[elijah3in1]

@faleroy I assume I will inherit zero. Long term health issues could bleed your family members dry, they could rewrite the will to leave everything to the pool boy, who knows. I assume I will inherit something, but I would never plan my retirement around it. I use the same approach with social security.

 

[loveandtruth28x]

@elijah3in1 This is what my fee-based financial planner advised.

If the inheritance ever materializes, great. If it’s all spent on end of life care, no problem because I wasn’t counting chickens before they hatch.

 

[mkelly1075]

@faleroy

Most people do.

I would definitely not take inheritance into account for financial planning purposes unless the money is already in an irrevocable trust with you as the beneficiary.

Otherwise, there is way too much uncertainty for both time and amount for you to plan around that money.

 

[yjsrajan]

@faleroy Most people do? Where’s the data backing this up?

Cries in generational poverty. Neither of my parents or other family members can afford to leave me anything, so no. All my financial projections involve income that I alone earn.