I don't have kids, so obviously this doesn't apply to me. But my thought is that unless the children are disabled in some way and they are otherwise able-bodied adults, I wouldn't worry about their inheritance. If they absolutely need help, of course you should help them. That said, I don't define "need" as making up for stupid decisions like living beyond one's means and getting into debt. Better get that second job!
You've presumably worked your life so you could enjoy retirement. Why should you deny yourself the pleasures of such? There's most likely going to be an estate of some sort when you pass away (home, other assets, etc.). I just find it annoying to hear about people that essentially live their lives for their kids' benefit, while not being able to enjoy the fruits of their own life long labors. It's their choice, of course.
One of the best ways to provide for the kids while still spending your own retirement funds for your life is through life insurance. It's tax-free to them when they are the beneficiaries, and it frees up your own income/assets to spend on yourself. It would probably have to be something other than TERM, since - as I understand it - many term policies don't continue to cover after 80 years of age.
|