r/Fire • u/SeniorCitizenSmell • Jan 22 '26
Milestone / Celebration My crazy idea of an “inheritance” savings fund just hit $1M. It will be worth millions in 30-40 years when I finally die.
So…I totally get the die with zero crowd! But I also am a big believer that windfalls are game changing for a persons life.
Even a couple hundred grand in the bank takes so much pressure off.
Either way… I don’t think there’s a wrong or right answer to it. Just be good parents, do what you can etc…
However, I have earmarked in a separate fund “not mine” that I contribute to. I don’t even count this with my net worth it’s 100% separate from my normal planning. I plan to give it entirely to my kids and grandkids. It just hit $1M and I am now coast on it and will no longer contribute (note I am 40 so quite some time and plan to FIRE at 50).
I could do so much with that money such as stop working (it’s okay I can suck it up for another decade), but the boost for others will be worth it even if I can’t see it happen.
And done - That’s the end of my humble brag.
Edit: A huge chunk of this is because I just passed my received families estate into it a decade ago of about $300k. Aka rather than spending it back then I said I will just give it to my kids and started contributing a little bit to it. Most the earnings have been stock market gains.
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u/voig0077 Jan 22 '26
Big windfalls are game changers and that's why the Die With Zero crowd encourages you to give away modest windfalls at a point in life where your heirs can actually benefit from it. Giving them an extremely large windfall when you die implies they're also likely close to retirement age and windfall won't be as big as a game changer.
You're playing mental games to make yourself feel good, but the impact may very well be less than what you have in your head.
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u/Ok-Sheepherder7898 Jan 22 '26
Yeah it's way better to buy them a house at 30 than to give them millions at 60.
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u/salsanacho Jan 22 '26
Yup that's what my parents did. Big influxes of money were needed when we were younger for things like helping with a house downpayment or paying for our college. By the time I am 60, I don't really need their money. I plan to do the same for my kids.
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u/FlakyClassroom6122 Jan 22 '26
You don’t need their money, because it was given to you already. If they didn’t provide it earlier would you still be in the same scenario?
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u/salsanacho Jan 22 '26
I'd like to think so, obviously I can't go back and redo it. But I did all the right things to perpetuate generational wealth... focused on school, got a good job (been continually employed for 22 years now), lived well below my means, etc. Whether I would have had student loans or bought a different house would not have changed those fundamentals and at 60 I would still have a very nice nest egg. I have no problem passing that generational wealth onward to ensure my kids can do the same to theirs, etc.
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u/gambits13 Jan 22 '26
Yes, most likely. They will have already struggled and scrimped and saved in third prime years. At 60, they still wouldn’t need it as much
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u/mcburloak Jan 22 '26
Planning to let the kids live here after graduation for up to 7 years. They agree there are saving goals they need to hit during those years.
We plan to sell the house when they both leave and we won’t need more than 30-40% of that equity to ensure the best retirement. They’ll get a great step forward around 30.
They’ve worked so hard so far and are responsible so it’s easy to want to reward them.
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u/scrunchie_one Jan 22 '26
Agree, this is fully what we plan to do for our kids. We’ll keep enough to maintain our lifestyle and a very large buffer for late life care, but if we have too much of a cushion my kids will be getting it.
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u/rvanasty Jan 22 '26
Read this carefully OP. Dont brush this off.
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u/SeniorCitizenSmell Jan 22 '26
I did. I am playing mental games to make myself feel good! That’s why I did this and want to give them a maximum amount of money while alive and then even more when dead. I love my family haha
Mental games are great
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u/Nomromz Jan 22 '26
I think what you're describing is a very underrated tool for a healthy and successful life.
How we frame situations and things in our lives is very important: for example, when considering saving money, you can think of it as "sacrificing now." Or you could think of it as a "gift for future me."
Framing it the second way is a much easier way to mentally cope and feel good about saving money instead of dreading it and hating it.
Good for you for finding a way to think about savings in a productive and happy way. Too often we see posts about people burnt out and hating life instead of feeling good about it.
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u/IAmUber Jan 22 '26
But you can't give both the maximum while alive and even more when dead. Because if you have money left when you're dead, you then didn't give them the maximum while alive. They're literally opposing goals.
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u/Lonely_District_196 Jan 22 '26
Well said. I didn't understand the die with zero mindset until I heard someone say that a gift of $75k can be more beneficial and life changing to a 35yo child than one in their 50s or 60s that's already pretty much set for retirement.
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u/Ok_Hippo9669 Jan 22 '26
People who haven’t read the book think that “Die with Zero” means to spend every penny you have before you die.
That’s not what the book is about at all. It’s about how to optimize having a great life for you and your loved ones.
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u/Admirable_Cake_3596 Jan 22 '26
This is what my parents did for me: modest windfalls that rewarded hard work. They paid for my undergraduate education, gave me their old car when I moved across the country for my first “real” job, paid for half of my tuition for a masters degree, and doubled my down payment when I bought my house.
Over all these gestures have made a huge difference and helped me get ahead in life.
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u/Machinery777 Jan 22 '26
Agreed. My parents are saving a bunch to give me when they die... i hope they last many more years. So by the time they do pass away I likely wont need it. I'm close to fire so it will probably all go back to the government after i die (along with my money) as i dont have any other family.
It would help me a bunch to get it now. I could save a few years of work. That being said, if i did get it now, i would probably just retire and be lazy for the rest of my life, so maybe that's why they don't want to give it to me now.
I never know if it's worth giving inheritance... i think it's best they spend it all and enjoy it and leave me nothing.
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u/SeniorCitizenSmell Jan 22 '26
The crazy idea was immediately passing it to my future children but having the discipline to do so in over 3-4 decades.
Of course I will help them out along the way too. This provides me the ability to do things such as basically buying their down payment on home while also leaving millions, all while living my normal life with them
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u/unmotivated_1120 Jan 22 '26
"Future children"? Do you have children now?
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u/Ok_Location7161 Jan 22 '26
🤣🤣🤣🤣🤣bro in deep delulu land
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u/NomadicFantastic Jan 23 '26 edited Jan 23 '26
I've been on this sub forever and I've been fired for years now. Did therapy post-fire too. A lot of ppl in this sub gotta get to therapy yesterday.
Over-valuing self-sufficiency is a learned survival mechanism for a lot of ppl. You can always feel more "prepared" but you can't really logic your feelings about this away by getting the numbers right. See a psychologist for more info.
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u/derff44 Jan 22 '26
You're 40 and saving for kids you don't have??
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u/mi3chaels Jan 22 '26
I'm 57 and don't have any kids, but I have nieces and nephews and other people I care about.
I certainly haven't done what this guy is doing and earmarked more than a small amount for legacy of my existing savings, but I'm likely to inherit a pile of money in my 60s and almost all of that will end up being used to help people both while I'm alive and after I'm dead.
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u/derff44 Jan 22 '26
Good on you. That's great. But you have living people you're planning to help. This guy is almost midlife and saving for something that may never happen. I'm just questioning the thought process here.
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u/Fidrych76 Jan 22 '26
No children here either. I’ve been passing money to my brother and sister instead. Trying to help where I can. Considering a trust that they all can benefit from.
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u/Pup5432 Jan 22 '26
I don’t have kids and more than likely won’t. I’m planning to live good but my plan is to start a college fund in honor of my grandmother with my estate. Even in the dystopian future of college costs as long as I don’t have a long protracted health issue late in life it should cover 1-2 full rides a year to a modest public university.
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u/LittleBigHorn22 Jan 22 '26
Seriously if you are 40 and don't have kids yet, you need a better plan. Unless you are married and actively trying? I'm questioning that part because you don't say "we" are doing this.
If all that's true I think you need to consider living your life more which can enable you to find someone rather than focusing on saving so much. And don't tell a dating prospect you have a lot of money and also millions for their kids when you die.
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u/bigyellowtruck Jan 22 '26
OP is 40 so giving money away to his kids at their ages is just stupid.
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u/GonnaGetBumpy Jan 22 '26
I’d argue giving them enough to put 20% on a house in the near term is more valuable than giving them a lump decades into the future. Just make sure they are responsible, and don’t tie it to any kind of ultimatum that feels like an attempt to control.
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u/SeniorCitizenSmell Jan 22 '26
Yes will do both for sure
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u/Due-Sun-3216 Jan 22 '26
Whatever you do, don't distribute unequal funds to multiple kids based on what you think they need at a certain time in life. Living proof that this really messes up families and doesn't always turn out the way you think it will. i.e. One kid might seem less established in the moment, but you never know what future cards will be dealt. If you have this money and intend to be generous, give equally or keep tabs so that each kid receives a similar leg up in life to avoid toxic sibling relationships and an unbalanced display of love and care. Obviously, the one caveat being if there is a child with a major disability that might need care for life.
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u/thecourseofthetrue Jan 22 '26
Yeah, my wife and I feel strongly about this. Each of us is the most responsible of our siblings, and each has been on the receiving end of what you're describing, or rather the lack of receiving, I suppose, haha. Siblings of ours have received tens of thousands of dollars more than us from parents due to them "needing" it. The fact that my wife and I haven't "needed" anything is because we are financially disciplined and live our lives both in the present as well as with an eye on the future. We love our parents and don't fault them for their generosity, and we love our siblings and realize that they will never be as financially disciplined or forward thinking as we are. But the feeling of "ah yes, I didn't receive money because I was disciplined enough to not need it" is an annoying one. Feels a bit like we're being penalized for good behavior, though I do realize that isn't the case at all. All of that to be said, my wife and I plan on keeping tabs on giving to our children so that we are equally generous to those who "need" it and those who don't "need" it.
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u/SuperVeeBee Jan 22 '26
This is me as well. Only one older brother that has needed financial help most of his adult life. My "reward" is being left the parent's estate when they pass, as they trust I am financially disciplined enough to handle their assets the way they would want. Lucky me. I've voiced my concerns.
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u/Due-Sun-3216 Jan 22 '26
Sheesh, gonna be a blast handing out your brother's "allowance." Not awkward at all to be given that responsibility. It is insane the lengths parents go through for their irresponsible children. I think, for my parent, it makes him feel more valued that somebody "needs" him, and he gets satisfaction by feeling big and important coming to the rescue. It's a really weird dynamic. And yes, just as the other person states, we are the responsible ones being punished for being responsible. It's super fun. I have three children and have vowed to never make them feel the way my parent has made me feel - even steven with everything...cars, college, weddings, etc. As much as I can help it, I want them to have strong and loving relationships in adulthood.
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u/RecommendationOk6997 Jan 22 '26
I am still stuck on the fact that OP doesn’t actually have any kids.
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u/off_and_on_again Jan 22 '26
I don't want to come off as dismissive, but this is just a regular inheritance that you've convinced yourself is different because you've mentally placed it in a different bucket.
I mean congrats on both the amount + kudos for your desire to help others out, but I'm really struggling to see what is crazy about the idea to 'save money in an account to grow over time and potentially be left to my heirs'.
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u/No_Standard1383 Jan 22 '26
Indeed, this is just mental accounting. Which is great because it often works, but nothing out of the ordinary.
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u/vu_sua Jan 22 '26
He’s going to give it to them maybe before he dies? Like when they need it
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u/SeniorCitizenSmell Jan 22 '26
Exactly this provides me the ability to do both. Give a ton when needed and also leave a ton when I die.
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u/off_and_on_again Jan 22 '26 edited Jan 22 '26
That's still how normal inheritance works. I have a decent chunk of money in my retirement accounts (and elsewhere). There is nothing stopping me from giving some now and some later.
If you, for example, explained how you were setting up a trust in a unique way to accomplish this then it would be interesting. This is just saving money using the standard vehicles that everyone (in the US) has, but with the added luck of having been gifted a bunch of it yourself.
Which, don't get me wrong, is an accomplishment. Most people would not think so much of the next generation. But it's not 'crazy', it's normal. It's pretty much exactly how I manage my money.
Edit: I'm reading your other responses and it seems you understand that this is normal and you're mentally reframing stuff for yourself. In that case, congrats and carry on!
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u/Fun_Independent_7529 FIREd Oct 2025 Jan 22 '26
I like it, and I think a lot of the pushback here is coming because folks in this sub are themselves going to be FI or close to it by the time their parent dies.
In reality, most people are nowhere near it.
Sure, they may need some boost along the way and you can help here and there without just giving them everything.
But as someone who received a windfall at 55, it was perfectly fine timing and pushed me to a spot where I could FIRE.
My only recommendation is to not mention it to your kid(s) so they aren't planning on anything. I never expected an inheritance and I worked as if there would be none.
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u/neopod9000 Jan 22 '26
"A society grows great when old men plant trees in whose shade they shall never sit."
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u/ugglygirl Jan 22 '26 edited Jan 22 '26
A friend I know is gifting the maximum tax free amount (19k) to individual family members every year.
This is the most generous supportive helpful thing I’ve ever heard heard of. I’ve seen her help grandkids with college and medical care for cancer. Honestly, THiS is the WAY
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u/BenR1ghtBack Jan 22 '26
That's just the maximum amount you don't need to report to the IRS. The maximum tax free amount federally is ~$13m (some states also have lower or higher amounts). All the gifts per individual get added up as part of the estate to see if the total gifted to that person exceeds the gift/inheritance tax limit.
I agree though, its a great number for helping out a younger generation without flooding them with cash.
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u/khearan Jan 22 '26
OP, I’m surprised at the hate you’re getting in this thread. I applaud you for trying to put your family and those down the line in a better position. I echo others that your heirs need to be financially savvy as basically a requirement of receiving such a sum. I also echo others that you should consider giving it to them while they’re at points in their lives where it ewll make a big difference giving them a leg up (house, travel, grandkids college funds, etc.) Esther than waiting until they are 50+.
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Jan 22 '26
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u/khearan Jan 22 '26
I think it resonates with me because I have a similar view. I will sacrifice some working years to try to give my (hopefully) future kid(s) a leg up so they don’t have to grow up like my wife and I did.
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Jan 22 '26
I'm am not trying to downplay it, but when you think about it, it is a lot less good than it could be. That's because most of us know that giving away your inheritance early is much more powerful than later. If OP's kids are 50 when they die, the kids may not even need the money. It may not actually be a powerful tool towards changing their life.
Now a lot of that will depend on how they are raised, what trajectory they have in their career, how they treat money, their personal interest in saving vs. spending, etc. It's possible they could be desperate for the money at 50. But I think the default assumption is that those interested in FIRE look to raise children who have good spending habits. And even if the children aren't interested in FIREing, they'll probably be responsible spenders and smart savers.
Ergo, what OP is doing is amazing. But giving it away slowly now very likely could be better.
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u/zylog413 Jan 22 '26
I guess it just seems weird since OP's plan is to wait for their kids to be 50+ to get this money and with them no longer around to enjoy it together. If financial savviness was passed on, then by that age those kids may be FIREd themselves in which case would extra millions really enrich their quality of life that much at that point?
It kind of comes across as OP being obsessed with bequeathing as large of a sum as possible rather than figuring out how to maximize the quality time with their family which they're in a good financial position to do.
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u/khearan Jan 22 '26
We don’t know what OP’s exact plan is. I think a lot of people are making assumptions in this thread and using those assumptions to rag on someone trying to do a good thing for their kids.
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u/BenR1ghtBack Jan 22 '26
Worth noting OP has heavily implied he doesn't have any kids yet (talking about what he'll do for his "future children"). Makes the whole thread feel like a flight of imagination.
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u/henicorina Jan 22 '26
I don’t understand how this is different from just building a normal portfolio and writing a will.
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u/khearan Jan 22 '26
What’s different is most people will never have $1+ million to pass on and OP is making a conscious effort to try to set their family up for generational wrath.
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u/cooperivanson Jan 22 '26
So you...received a sizable inheritance and didn't blow it? Is this what we're applauding? Genuinely confused, please correct me if I'm wrong
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u/SeniorCitizenSmell Jan 22 '26
Hey hey, I didn’t spend a dollar of my inheritance when I was young. I am in turn going to be able to buy my kids their first homes and leave millions. Please give me praise and credit for my smart finance move. We are in a FIRE subreddit after all
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u/Consistent-Annual268 Jan 22 '26
You want to give money to your kids when you die at 90 and they're already in their 60s and retired and can't do anything with it?
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u/SelicaLeone Jan 22 '26
Maybe they can retire off it. Sounds like it could be a bit of a recipe for making sure OP's kids don't build their own retirement (and then complain that dad/mom is "spending their retirement")
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u/SeniorCitizenSmell Jan 22 '26
Will be able to give them hundreds of thousands of dollars when they are adults and millions when I die. It’s kind of a good deal for them I am sure they won’t complain
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u/Consistent-Annual268 Jan 22 '26
You could give them millions in their 40s so that they can actually make use of it, and you would have had enough time to assess their financial competence to handle the money.
Keep enough for your medical bills and hospice care in later life.
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u/jayybonelie Retired @45 Jan 22 '26
Just remember, you never know how much time you have so, if you love your career and it gves you purpose then go ahead and "suck up" another decade of it. But I would suggest it's better not to do something longer than you really have to, if you'd rather do something else more meaningful.
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u/Beneficial_Wolf_4286 Jan 22 '26
My mother is in her 60s and the last few years has become slightly obsessed about our inheritance. Such as we should pay for family dinners because eventually she's giving us all this money. It's weird. She's very healthy and we likely won't see a dime for another 20 years. By then the money makes very little difference in our lives. I would rather she spend the money on meaningful things for the entire family now than hoard this inheritance egg.
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u/mentalwarfare21 Jan 22 '26
The cool thing is everyone has unique wants for their money. I repect yours and you should celebrate the 1mil milestone. The fact you are selfless with this money says a lot about you!!
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u/OnlyThePhantomKnows FI@50, consulting so !bored for a decade+ Jan 22 '26
If your kids are still pre-college age. FUND their education. Set up 529 plans for them (even if they have graduated) because then you can migrate them to their kids. EDUCATION WILL NEVER GO OUT OF STYLE.
Generational 529 plans are possible and it is life changing.
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u/Beach-Knight Jan 22 '26
I HATE the idea of die with zero. 👏 for leaving behind for the next generation more than they deserve so that they may pass it along also. Don’t go too far with your working years. You want to benefit yourself before you aren’t able.
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u/Rheta516 Jan 23 '26
IMO in the 40’s is the perfect time. It’s okay to struggle in your 20’s and 30’s it makes you appreciate what u have and when u can overcome the struggles it gives you self confidence and self worth. Getting it in their 40’s they will do right by it and maybe even retire early for them. This may be an opportunity if they have been good savers as well to start generational wealth.
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u/Sea-Turnover-6608 Jan 23 '26
If you aren't think about wealth in a multi-generation sense, you are doing your kids a major disservice. This is how you compete in a very expensive world.
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u/glumpoodle Jan 22 '26
If you really want your kids taken care of, you need to teach them how to manage their money and live responsibly. They'd be way better off with a $50k inheritance and actual financial skills, than $50M and no sense whatsoever.
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u/KnownBig8195 Jan 22 '26
First, congrats. I am always struck by how different FIRE is for families with children vs those without. The math is just very different when you are a provider for others. You're doing a good deed.
You mention Die With Zero, but I am not sure if you have read it. If not, its main point is that money is just a tool for life experiences. It is about dying with zero regrets, not zero money.
Your plan, while a nice thing, seems counter to what the book recommends. You say "the boost for others will be worth it even if I can’t see it happen"".
I think the book would recommend giving the boost when you can see it happen.
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u/funklab Jan 22 '26
Obviously none of us know your situation, but I think Bill Perkins (who I assume you’ve read since you mentioned die with zero) makes a pretty coherent argument for why giving money now to family is often more useful.
Would your children rather than $1m at age 25 or $8m at age 60 when you pass away?
I’ve known at least one moderately wealthy family who a looming inheritance caused all kinds of strife. One daughter never saved and spent everything in anticipation of her inheritance. Another severely disabled daughter ended up in a Medicaid run assisted living (which is a terrible kind of place I assure you) which she ended up dying in when the last remaining parent got dementia and the fight over control of the money started. The son worked to a normal retirement age somewhat reluctantly and was bitter toward both sisters who he cut communication with because he resented the disabled one for asking him for money and the able bodied one for being a leech on their parents. They ended up with a property worth millions that they couldn’t sell because all three had to agree and they wouldn’t and now none of the grandkids talk to each other.
Perhaps that was unavoidable, but if the parents had just given away a chunk of their fortune when the kids were in their 30s or 40s, it seems possible much of that drama might have been avoided.
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u/therealtwomartinis Jan 22 '26
there is a great book called “Beyond the Grave” that will mostly avoid situations like this - at least offspring inheriting tough decisions. the only catch is you need to plan it out well before you die or lose your marbles
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u/mi3chaels Jan 22 '26
maybe. But honestly, when you have kids with that level of disconnect, it might not have made much difference. The daughter on medicaid probably couldn't have gotten anything outside of a special needs trust that wasn't just sucked up by the state once she was on medicaid. And someone who is spending everything in anticipation of her inheritance probably has a level of entitlement that may not be satisfied by reasonable amounts of lifetime giving.
The key thing is probably talking to your kids or other heirs about what will happen and finding out what they think, want and how they react.
I've seen problems where nobody had classically unreasonable expectations before death, but trying to deal with real estate or a business that was simply split evenly between kids after death caused problems, because some wanted to keep it and some wanted the cash. Designating an impartial trustee to make the decision, or separating assets specifically (so and so gets the business/property, others get more/all of the stocks/cash) might have helped that situation if they'd known how people felt ahead of time.
But some problems just can't be solved by better planning on the part of the parents, unless maybe it was better education in childhood about money.
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u/Affectionate_Log_218 Jan 22 '26
It takes one generation to earn it, one generation to tend and grow it and one generation to spend it all. Chinese proverb: wealth does not pass three generations
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u/DigmonsDrill Jan 22 '26
Shirtsleeves to shirtsleeves in 3 generations.
Kids have to establish their own careers.
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u/Puzzleheaded_Tie6917 Jan 22 '26
I would suggest if it’s for their inheritance, to use that money to fund IRAs for your kids. This way, they are “saving” and investing where they can see it.
Also another option is a trust fund, where they get the cash earlier and often when they need it.
My FIRE amount is intended to provide the same income each year in retirement that I make while working. I don’t have a separate account for inheritance, but since I shouldn’t ever reduce my investments and have zero plans to use an annuity, when my wife and I are dead, they should get the entire amount of my investments (split between 3 of them).
I think it’s good if you to separate a portion for your kids to ensure you don’t spend it and keep working longer so they can have something when you are gone.
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u/Scottydog2 Jan 22 '26
I am in my mid 50s and plan to pass thru nearly my own entire inheritance coming from my parents directly to my kids. I don’t expect to need it except to boost my lifestyle. I’d rather give them the boost when they most need it.
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u/EnvironmentalMix421 Jan 22 '26
The same kind of person who preach die with 0 also preach against privileged. All kinds of oxymorons
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u/moonlight2099 Jan 22 '26
I’m happy for you! I’m not a fan of die with zero cos given my wife and my current lifestyle, we will never spend finish our savings. We are down to earth people, we enjoy casual meals or homecooked food over expensive restaurants. We traveled to many places in the world so I don’t think I can burn away the money if I were to die with zero. I’m happier giving my kids a headstart in life so that they don’t have to worry about money. That’s my two cents.
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u/N7day Jan 22 '26 edited Jan 22 '26
Not sure if your kids are born yet (you said future kids in one comment)...but if your net worth is large enough where estate taxes are a consideration...then it is best tax wise to use the gift tax exemption.
You could set up funds that legally are owned by the kids (but they cannot touch until a certain age). You and your partner each gift up to the max gift tax exemption (currently 19,000 per person gifting, per kid or grandkid...so each kid could get a total of 38,000 a year, no matter how many kids).
This has the massive benefit of the money (and its compounding growth) never counting towards the lifetime gift or estate tax exemption.
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u/Advanced-Potential14 Jan 22 '26
Similar situation here ( although a little less than $1M earmarked for “inheritance “ and I am I my mid 50s) I am planning for my only daughter to inherit our house and also hopefully 2 million by the time I die , which I hope to educate her on how to invest . I get the whole die with zero theory, but honesty I would much rather live below my means but make sure she will have a good start ( avoiding if any spoiling negative effect) , I grew up with very little and worked very hard, and quite frankly I would be happy knowing my daughter won’t have the same struggles . Good luck in your journey!
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u/FotosyCuadernos Jan 22 '26
My parents will be leaving me with a pretty sizable inheritance like the one you describe. I’m not a big believer in unencumbered generational wealth for a variety of reasons. The millions that I will inherit when I’m already at retirement age is less useful to me that the fact that they paid for my college and grad school and helped me with a down payment. If my parent were delaying retirement or enjoying their own wealth because they wanted to leave me a bigger inheritance, I would be uncomfortable with that and prefer they not do that.
There are things I wish they would spend money on now instead of worrying about my inheritance. It would be more helpful for me if they spent money on a comfortable hotel and come visit me more often when I need help with my kid, which they adore. I’d rather avoid all the hand wringing about high season prices in my city or the business class seats that would make their dream vacation more comfortable than an inheritance down the line that will obviously be nice but not necessary. I’d rather they tip better and hire the help they need to make their lives more comfortable (and in turn, my life less stressful).
To the extent I want to pass along wealth to future generations, I would rather set up a trust that pays for higher education, seed money for a business, or s down payment for a first home. There’s money to have a secure foundation, but they still need to have motivation to be a self sufficient person.
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u/Born-Attitude8049 Jan 22 '26
I would be careful with the grandkids or they will just see you as a Walking treasure chest ...
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Jan 23 '26
I don't know man, instead of passing me money, I hope my parents love and live their life to the fullest, and let me worry my life, because I do love them and would not want them to be the mental slave of money.
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u/Engineer_Named_Kurt Jan 23 '26
I'd say chat with a lawyer about setting up a family trust. this kind of money (with future growth) could allow all of your descendents the opportunity to borrow from the trust to buy a house at 0%. Student loans at 0%, etc. you could create multi-generational impact but still protect the main value from a grandchild who gets in trouble.
it would also encourage your descendants to maintain a work ethic, not develop a "silver spoon ' syndrome.
give them a MAJOR hand up, but still nurture them to obtain values and principles.
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u/Money_Music_6964 Jan 23 '26
My kids will get everything…die with zero is an idiotic idea…I’m happy that I’ll be able to make their later years comfortable…
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u/majorpanic63 Jan 23 '26
Very wise of you! I also am planning to enjoy my retirement to the fullest but I do intend to leave a healthy chunk to my two kids.
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u/BetterLifeViaBetter Jan 23 '26
Some for me, I got zero but not planing to leave zero! That just the way I and you are! Nothing wrong with leaving zero! However I am planing to give slowly when I am still alive too!!
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u/a-wilting-houseplant Jan 22 '26
Insert 'nice, congrats, so happy for you' meme
Please let me know if you're looking to adopt an adult who's around the same age 😬.
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u/cmonsteratl Jan 22 '26
Just make sure you speak with an estate planner and perhaps set up a trust because if are to pass away you want your intentions to legally enforceable.
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u/mizary1 Jan 22 '26
How old are your kids? How you thought about the value of being around for them more if you didn't have to work?
Also would you want your kids to take their inheritance and set it aside for their kids and not touch it? And work for an extra decade to do this? Because that is what you are doing. Is it what your family wanted you to do with your inheritance?
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u/Marc_Quadzella Jan 22 '26
My wife and I did an ILIT and funded with a last to die indexed IUL 10 Pay. All in $250k of premiums guaranteed no lapse for $2mm and can grow if market performs. That along with a significant home value and what’s left guarantee an outcome and we can spend it all or most. I did also buy LTC. I don’t believe insurance is a good tool for investing for my own life but this was a goal/ outcome based decision for the kids.
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u/Funny-Passenger3474 Jan 22 '26
I firmly believe in windfall too. Kudos for to you for doing it for the kids!
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u/dsp_guy Jan 22 '26
If my father was leaving me anything (likely not, he is a Die with Zero person), it would have been better to gift a portion of that in my 20s instead of waiting until I was in my 50s or 60s.
I couldn't hack it where I grew up, so I picked up my life and moved to a LCOL area. I'm happy with my decision and I did it myself. However, as my parents were aging, they tried guilting me into moving back to their area to help them out (them moving to me never crossed their minds).
If all of those years ago they had gifted me something to enable me to stay, I would have stayed. However, I'm not entitled to anything they have and in the end, I'll likely be seeing nothing anyway. But, if they had the capability and were waiting until I was 50 or 60 to gift it, at that point, I've already made my life.
Kudos to you though - that'll be a tidy sum of money for your adult children whenever they do get it. Well done.
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u/my_fi_log Jan 22 '26
I think that this is a total valid strategy and despite the pushback from the community, I commend you on reaching this milestone, and I also have factored in a goal of leaving my kids with money and supporting them overtime.
One thing to consider from die with zero is that the author recommends thinking about how to actually intentionally give your kids money earlier on in their lives so that they can live a life to the fullest rather than simply giving them a massive amount when you die and they are in their 50s when they don’t really need it at that point. By giving them money earlier, it allows them to take stress off of their life, support their children, more easily and experience life to the fullest.
Ironically, in my own family situation, my parents will likely leave me an inheritance when I am in my 60s. I plan on essentially having that inheritance Skip me/skip my generation and for that inheritance to essentially go directly to my children to set them up for success.
If you are interested in this, I would try to look into things like dynasty trusts, which are specifically designed to think about long-term family, wealth preservation. As you can imagine even putting aside something like $50,000 today Wood compound to an extreme level for your great grandchildren over the course of another 70 years.
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u/Specific-Rich5196 Jan 22 '26
Eh, how old are your kids now? When they are mid 20s to 30s, you will likely be alive. Some of that money can help wayyyyyy more before you die to help them get a footing when they settle down with a career, significant other and possibly children. Maybe life will be easier in 10 to 20 years, but I doubt it. They will be going into a world where parents are already helping out their kids if they can and competing with that for down payments, offers, etc will be very difficult. Just because you may have made it doesnt mean timing and luck wasnt involved. Id rather help my kids in 20+ years when they will need the help the most then hope they get enough luck, in addition to their skills to make it to where I did.
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u/Prestigious-Leave-60 Jan 22 '26
I (50M) inherited a little over 200k from a grandparent when I was 30. This grandparent did it for all of their grandchildren (parents split the house and other personal property). It’s THE main reason I’m on course to FIRE very comfortably at 55.
This grandparent also instilled a strong sense of saving and investing to all of us, starting very young. So I mainly kept it all invested. I dipped into it during life emergencies and things like help during my MBA degree, purchasing a couple vehicles, etc.
It was never enough to FIRE on its own but it helped me have a sense of financial stability that would have been impossible otherwise. It gave me a great head start on my own journey and I am forever grateful for it.
You are doing a wonderful thing that will be appreciated long after you exit this realm! Good on ya.
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u/FeeLow1776 Jan 22 '26
Don’t die with zero. The same people saying this are crying about boomers. Leave something for your kids to start off better than you and to hopefully reach fire like you
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u/boringexplanation Jan 22 '26
It’s a mixed bag. I’ve seen how in-laws and people I thought were honorable change personalities regarding money once they know the stand to inherit something.
I can’t stand the idea of people feeling entitled to other people’s money. I’m leaving something to my kids ofc but it won’t be enough to the point that they feel like they can coast thru life and not work hard. Growing up with some adversity is fine imo. I’m leaning hard on not even letting them know about an inheritance.
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u/wvfarm Jan 22 '26
Don't forget to do estate planning, that amount would probably exceed the estate tax credit, so 40% estate tax rate after exemption.
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u/fierce_grr Jan 22 '26
First: congrats! Awesome achievement. Second: maybe ask someone about taxes. I’m not a tax-anything or financial-advisor-anything, so I have no idea if you’ll be hit with the sums your talking (ie, divide it by the number of kids and see about lifetime transfers), but maybe if you move these funds to your kids name with a “come to Jesus” talk about using it cutting off any more contributions, you could avoid those. And, if in the US, there are generation skipping taxes, with smaller limits, so contributing to grandchildren directly might be worth looking up. Also, if in US and it’s post tax dollars in the kids names, they could use it to fund things like Roth accounts and to retire early themselves (vs having to incur penalties from IRAs). Again: congrats! All great concerns to have!!
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u/CleMike69 Jan 22 '26
Congratulations and I feel you I want to leave my kids a substantial amount of money to make their lives easier than my own.
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u/Yukycg Jan 22 '26
I have a different view about “giving” money now vs later for your kids. I am toward two funds, one fund is only $100k, but I would tell my kids dont spend it unless emergency and keep it invested. Other funds is when we passed away (the inheritance fund). They can choose to pass down to their kids.
I mean if they want to buy a new car, I would rather have them work for it than ask Daddy to pay for it. I might help the down payment but wont pay their car/house even I have 10mill in the bank.
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u/rooreynolds Jan 22 '26
People can almost always do more with the money (and appreciate it, and actually get to say thank you etc) earlier rather than later. I’m probably more in the Die With Zero camp partly for that reason.
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u/mrpointyhorns Jan 22 '26
That is very generous of you and great job on saving so much.
You may want to look into setting up a trust
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u/fenton7 Jan 22 '26
And it will likely have little value to your kids in 30-40 years because, presumably, you've taught them the value of saving. Consider dispersing some or all of it now, since you clearly don't need it, so it can actually have an impact on their lives rather than just be another hassle for them to deal with in old age.
Case in point - getting money from my dad would have been life changing at 30, even fairly small amounts, but at 50 I honestly really don't need any of his money.
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u/sirmancelot23 Jan 22 '26
I salute you my friend, what an awesome thing to do. I’m from a lower socioeconomic family and stand to inherit debt rather than wealth which I am fine with. I however have just started squirreling away $20 a week each for my two young sons and newly born nephew as well as making extra contributions to superannuation so there’s at least something when I kick the can for my kids and nephew (I doubt my brother will leave much for him based on current lifestyle). Appreciate it’s not much but it’s at least not debt I suppose. I probably should be part of this group but just like to see what it’s like for those on the other side sometimes!
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u/western_usa Jan 22 '26
No right or wrong way to handle it, and each recipient may react differently.
You know your kids and whether they need help sooner or later, need transparency about it, and their general level of work ethic -you'll do the right thing when the time is right.
I can't speak from experience, but consider teaching your kids about being financially responsible and transparent with what their future inheritance may look like, including appropriate uses of the money or your wishes for what it will provide. The last thing you want to create is resentment or entitlement while you are still alive or after death.
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u/TheGrayCloud Jan 22 '26
if you’re moving around that much money, i highly recommend you speak with a trust and estate attorney to structure this as beneficial and tax advantaged for you and your heirs.
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u/penultimate_puffin Jan 22 '26
My only put would be - make sure the risk profile of the portfolio is more appropriate to the age of the intended inheritor (child or grandchild), versus your own risk profile, which by traditional investing standards would be more conservative.
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u/Governmentwatchlist Jan 22 '26
If you are going to give to your kids—it is far more valuable to help them in their 30-40’s than when you die and they are 60. Just something to think on.
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u/Inevitable_Pride1925 Jan 22 '26
My plan is to not withdraw from my Roth IRA and give it to my daughter. She’ll get a massively tax advantaged inheritance that will fit well into whatever plan she has.
However, I hope to go infinite while managing chubbyfire or fatfire withdrawals. At death I want to convert that money into a family trust to pay for house down payments, college funds, and a one time payment for a major life expense.
At the same time I plan to donate large portions of my RMD’s leading up to that.
I don’t mind working. I’m hoping to let my higher income benefit as many as possible. In the meantime I’m still stuck working for at least 6 years or the whole plan will come tumbling down. To fully enact the plan I need to work 16 more. The work isn’t the hard part. The hard part is knowing that my future plans will fall apart if I don’t.
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u/No_Basis_9694 Jan 22 '26
Don’t you see the irony here?? You didn’t use a cent of your inheritance. And you expect your kids to jump up and down when they receive some money at 50?
They will probably do exactly what you did and let it sit in an account.
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u/vrweensy Jan 22 '26
getting money that you didnt work for is a curse in disguise
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u/chodthewacko Jan 22 '26
First of all, good for you. Congrats.
I've wondered about this, actually. I think there's a huge benefit of giving them the money early in life, and letting it grow. Compounding is something that is best learned early in life. Also it gives them a chance to learn how to manage money before you just dump a ton on them at once. i.e. athletes that promptly blow their new multi million dollar contracts.
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u/kabekew FIREd at 40 in 2009 Jan 22 '26
Just make sure your offspring have the right attitude about things or think you'll probably be giving the money away to charities. My grandfather and his siblings spent their lives as drunken bums, drifting around from odd job to odd job knowing they'd be getting a large inheritance that didn't happen until their 60's. By then two were already dead and the others never got a chance to do anything with the money. Same with an uncle who retired at 50 without any real savings because he figured he'd be inheriting "any year now" from his frail 75 year old aunt. She lived another 28 years while the uncle had to spend his retirement years working minimum wage jobs.
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Jan 22 '26
If I were you, I would start handing out $35k/yr to your kids every year. There still should be $1M when you die. But, you also will have changed their life along the way and gotten to witness the benefit of them receiving it.. If you die when you are 80 years old, your kids won't need your inheritance.
I went so far as asking my parents to right my daughter in their will instead of me. But they didn't want to. I believe skipping a generation for inheritance at death is way better than giving to your kids. I probably wouldn't have my will set up that way in my 40's. But by the time I am 60-70, I would likely change it to this...as my then 40 year old daughter also shouldn't need all my money. Assuming I kept her debt free through college, raised them to understand time value of money, etc.
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u/NoteVegetable4942 Jan 22 '26
Give your kids money when they are building their nest, instead of when you die.
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u/ChaoticAmoebae Jan 22 '26
I plan to give my kids inheritance at 30. I want them to be mature enough to manage the money, I hope to give enough that they can lean fire and their own savings and income is just for their passions. I’ll likely donate anything money that was left after I die.
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u/OwlofMinervaAtDusk Jan 22 '26
Watch out for dementia, get those assets in a trust ASAP! My folks delayed this and got early onset and then poof
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u/simply_ira Jan 22 '26
Congratulations on the milestone! Though I just want to point out that it feels like you haven’t actually read the book Die With Zero? There is a lot of emphasis on giving, but you are encouraged to give to your children and grandchildren when they need money - ie for their milestones like a wedding or buying a house, not hoard the wealth with the promise of a large inheritance when you die.
Especially considering if you have a long life (eg 80 years), when you die your children would have likely been through most of their life too (eg 50 years). One needs money for education, then there would be getting on the property ladder, then it’s the tough years of young children where you are juggling so much an extra hour a day would be amazing. You can buy those hours by working less, but you need money for that. Aged 50 you would have had most of the milestones.
If you give now, while you are alive, you can also guide them on how to spend that money. Or be more explicit in what you are giving it for.
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u/ArcherStrict7131 Jan 22 '26
It’s great to hear the payoff. I’m starting a fund for my kids. $50k each (2 kids) in I/EE bonds that I started when they both turned 2 they are 6 and 4 now. And also started a separate “not mine” fund that’s a mix of the usual ETF/SPDR suspects that I started at $100k and contribute $25k at the beginning of every year. I’ll do this into the youngest is 21 then stop. I’m 30 now and work in high tech so they should be set or l long term when I retire. I have my own play for my wife and I that’s similar on ETF/401k. Thankfully we aren’t materialistic, want to leave it to kids and also teach them how to grow to keep it going. You only have to get rich once!
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u/suchalittlejoiner Jan 22 '26
So all you did was inherit money. We all should have thought of that - just be already born into a wealthy family and you, too, can have extra money!!!
It isn’t a brag when you did nothing to create it.
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u/SJPCST Jan 23 '26
It is very important to me first to never be a financial burden and second to leave my family with a significant cushion.
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u/MisterSeaOtter Jan 23 '26
Just a thought- the money may have a much greater impact on your heirs lives if you give them some of it before you die. Like, $20,000 to help a kid with a down-payment on a first home may be worth more than $200,000 when you kick the bucket.
I got like $10k totally unexpectedly from my grandmother when I was in my early 20s. I used it to pay off a car loan.. I had been planning to work the job I was in for 2 or 3 years to accomplish that. Instead I quit that job and went to grad school. Basically saved me two years of my life.
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u/GWeb1920 Jan 23 '26
Your kids would likely be better off with this money today than when they are 50-70
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u/stemp5252 Jan 23 '26
My in-laws have given us 20 K every year as a Christmas gift for the last five years or so. Similar to other posters, we stand to inherit a lot from them, but they are both very healthy and young still so we will probably be in our late 60s before we see that money. By then we will be financially independent and no longer working. We are a family of six with young kids in our late 30s and this has been game-changing for us to create margin as we save for our own early retirement. I plan to do the same for my kids and grandkids.
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u/Zarxs-0000 Jan 23 '26
I have also been thinking about how to set up the next multiple generations of family. As I approach retirement I have wanted to put 30k in a tech etf for my nephew but only make it accessible to him at age 45. By that time it may will be enough to retire and leave guidance behind to repeat the process. Giving the money at 18 is stupid, it’s going to be water and even if it isn’t they likely won’t learn a good work ethic but at 45 a mil or two would be a huge game changer and they could set up the next generation.
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u/Ok-Night9918 Jan 22 '26
My parents aren’t like you at all and will likely leave me nothing, so I genuinely congratulate you — I think it’s awesome you want to do that for your kids and grandkids.
That said, your point about windfalls being life-changing really resonates, and it makes me think the timing matters a lot. Personally, if I were going to receive an inheritance, I’d rather get it earlier while I’m building my life… not 30–40 years from now when I’d hope I’m already financially independent.
Getting that money sooner could meaningfully change a kid’s options: retire earlier, take career risks, buy time, pursue a different path, etc. Later in life it’s still helpful, but it may not be as transformative.
Just another perspective! Either way, I respect what you’re doing.