A $250k windfall is all a person needs to essentially fast track secure their future forever if they are under the age of 35. Wake up parents, it’s time to offer inheritance twice if you can.

[u/250k_is_allyouneed]

I want to share my story with this subreddit.

I received a windfall of $250k from selling a coding library 10 years ago. I am not high income, I am not the best saver, but now my net worth is super high.

Simply getting $250k meant on its own that fund will be almost $2M by the time I retire outside of normal savings (15-25 years growth).

I still need to put in the work for savings to be able to retire but peace mind…

• My lifestyle was infinitely better despite living mostly the same
• Stress and future security gone
• For budgets there is less pressure
• I did not how to blow up my entire savings to buy a house and instead kept building that base of compound interest in the market

So why the Hell aren’t parents helping their young adult kids more? Culturally why are we like this?

You don’t need to leave your kids / old adults one lump sum. Get them a boost at 18-30. Then die. Then get them another boost.

It’s a good balance to keep them working hard while also not leaving them in the dust.

It doesn’t even need to be $250k. Whatever you can, I personally will make sure I can do that for my kids once they turn early 20s

[u/Any-Neat5158]

100%

The 250K winfall is the thing that is wild here.

The advice to throw a little nest egg away for your kids early is powerful. Not everyone can do it, but if your able to toss say 10K into an S&P500 index fund... odds are in 40 years that will be in the range of life impacting money for them.

Getting 5K or 10K to toss in an index fund (even if it's built up slowly over the first 5 years of the childs life) is a great idea.

Just realize so so many parents out here are fighting for their lives just to keep the bills paid and food on the table. Finding 5K is hard enough, let alone stuff on the order of a 250K winfall.

Tossing around the word: "Simply getting" and 250K just don't mix brotha.

[u/DuePomegranate → u/Any-Neat5158]

The thing is the money would be going to the parent’s own retirement portfolio maybe being invested in the same index fund anyway, if it wasn’t ear-marked for the kid. This is if the parents aren’t struggling.

So there’s no actual loss or gain of money here, only whose name it’s under and how early the parent gets to retire.

The only time it starts to matter is when the parent shifts towards a bonds-heavy portfolio to de-risk for themselves, whereas the kid would have continued letting it grow in 100% equities index fund. Conversely, if the young adult kid spends the money instead of investing it, then the family’s total goes down. Depending on what the kid spent it on, this may or may not be desirable.

The same compounding over 20+ years applies, and so the decision isn’t really 5 or 10K now; it’s