Are you going to leave anything behind?

Sampson · 04-14-2009, 03:42 PM

All this discussion about 'how much you need to retire' has got me thinking to ask, "Are you planning on leaving anything behind after you pass away?"

I know some people's figures for retirement nest eggs assume draw down of the principle balance, others (myself included) assume that the portfolio can be maintained in perpetuity without drawing on the principle.

My $2.5M at 55yr (for a couple) assumes a withdrawal rate of 4% (dividends mostly - which I expect to increase at the rate of inflation) and this nest egg will be passed on.

Obviously those withdrawing the principle should be able to retire sooner.

What are you going to do?

archanfel · 04-14-2009, 03:47 PM

Trust funds will be set up for each kids and grand kids. Every time they come to visit, $1000 will be added to each fund. Every time they make me happy, $1000 will be added. Every time they make me angry, $5000 will be deducted.

No seriously. I suspect I will leave behind a house + some cash. I doubt it will be a lot though since inflation should have eaten most of them and the house would be in pretty bad shape.

ethos1 · 04-14-2009, 04:10 PM

Quote:

Originally Posted by Sampson

All this discussion about 'how much you need to retire' has got me thinking to ask, "Are you planning on leaving anything behind after you pass away?"

What are you going to do?

The quick answer is NO!

However, not knowing when the inevitable will happen, the plan is to spend it all and to leave a trail of debt behind me.

I would have no problem doing a chip program sometime between 65-70 and spending it all rather than leaving it to our greedy (hands out) children.

Hopefully for me it will many years after I have passed age 65, with 80+ being a good number.

I am depending on the OAS pension network to keep me kicking till the end - which is doable

FrugalTrader · 04-14-2009, 05:39 PM

My plan is to help my kids out with the major financial points in life while I'm still alive and when they need it most - University, wedding, first house.

However, they shouldn't expect anything when I pass as they'll most likely be financially self sufficient at that time. That is providing that I live to be an old man.

Any money left over will pass onto my wife, and after that a lot of it will go to charity.

Hazelnut · 04-14-2009, 06:19 PM

I plan to do what my dad did and that was to "gift" money to us while he was alive. No money lost to probate fees and he got to see what we used it for. Win win.

Retireat50 · 04-14-2009, 07:40 PM

My kids will be happy. Enjoy!!!!

DAvid · 04-14-2009, 08:28 PM

I plan to leave an unpaid invoice to the Undertaker!

mfd · 04-14-2009, 08:34 PM

I intend to pay for their education but I have no intention on living like a miser so I can leave everything behind for them. I'll spend it how I want to spend it and if there is anything left then they can have it. However I am open to helping them on some of the points FT mentioned depending on the situation.

Jon Chevreau · 04-15-2009, 11:58 AM

I still chuckle over the line in the book, Die Broke: "The last cheque you should write should be to your undertaker, and it should bounce!"

www.financialpost.com/fd

CanadianCapitalist · 04-15-2009, 12:06 PM

I think it was Warren Buffett who had a great quote on the topic:

Give enough money to the kids so that they can do anything but not so much that they can do nothing (or words to that effect).

View Poll Results: Are planning on leaving any assets behind?
No - I'm taking it all to the grave	1	4.55%
Yes - as much as I can	5	22.73%
They'll get whatever is left over	16	72.73%
Voters: 22. You may not vote on this poll

04-14-2009, 03:42 PM	#1
Sampson Senior Member Join Date: Apr 2009 Location: Calgary Posts: 396	Are you going to leave anything behind? All this discussion about 'how much you need to retire' has got me thinking to ask, "Are you planning on leaving anything behind after you pass away?" I know some people's figures for retirement nest eggs assume draw down of the principle balance, others (myself included) assume that the portfolio can be maintained in perpetuity without drawing on the principle. My $2.5M at 55yr (for a couple) assumes a withdrawal rate of 4% (dividends mostly - which I expect to increase at the rate of inflation) and this nest egg will be passed on. Obviously those withdrawing the principle should be able to retire sooner. What are you going to do?

04-14-2009, 05:39 PM	#4
FrugalTrader Administrator Join Date: Oct 2008 Location: Newfoundland Posts: 591	My plan is to help my kids out with the major financial points in life while I'm still alive and when they need it most - University, wedding, first house. However, they shouldn't expect anything when I pass as they'll most likely be financially self sufficient at that time. That is providing that I live to be an old man. Any money left over will pass onto my wife, and after that a lot of it will go to charity. __________________ Million Dollar Journey - Follow my journey to one million in net worth..

04-14-2009, 06:19 PM	#5
Hazelnut Junior Member Join Date: Apr 2009 Location: London, Ontario Posts: 20	I plan to do what my dad did and that was to "gift" money to us while he was alive. No money lost to probate fees and he got to see what we used it for. Win win. __________________ Hazelnut @ Life Begins at Retirement

04-14-2009, 08:28 PM	#7
DAvid Member Join Date: Apr 2009 Posts: 73	I plan to leave an unpaid invoice to the Undertaker! __________________ DAvid "Workin' for a livin'"

04-14-2009, 03:47 PM	#2
archanfel Senior Member Join Date: Apr 2009 Posts: 154	Trust funds will be set up for each kids and grand kids. Every time they come to visit, $1000 will be added to each fund. Every time they make me happy, $1000 will be added. Every time they make me angry, $5000 will be deducted. No seriously. I suspect I will leave behind a house + some cash. I doubt it will be a lot though since inflation should have eaten most of them and the house would be in pretty bad shape.

04-14-2009, 07:40 PM	#6
Retireat50 Junior Member Join Date: Apr 2009 Location: Ontario Posts: 11	My kids will be happy. Enjoy!!!!

04-14-2009, 08:34 PM	#8
mfd Senior Member Join Date: Apr 2009 Location: Toronto, Ontario Posts: 192	I intend to pay for their education but I have no intention on living like a miser so I can leave everything behind for them. I'll spend it how I want to spend it and if there is anything left then they can have it. However I am open to helping them on some of the points FT mentioned depending on the situation. __________________ My Findependence Day My Wealth, Savings and Investing Goals to Reaching Financial Independence

04-15-2009, 11:58 AM	#9
Jon Chevreau Senior Member Join Date: Apr 2009 Location: Long Branch, Ont. Posts: 203	I still chuckle over the line in the book, Die Broke: "The last cheque you should write should be to your undertaker, and it should bounce!" www.financialpost.com/fd

04-15-2009, 12:06 PM	#10
CanadianCapitalist Administrator Join Date: Mar 2009 Location: Ottawa, Ontario Posts: 886	I think it was Warren Buffett who had a great quote on the topic: Give enough money to the kids so that they can do anything but not so much that they can do nothing (or words to that effect). __________________ Canadian Capitalist -- A Canadian Personal Finance Blog

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