“When the Lord closes a door, somewhere He opens a window.” — Maria Von Trapp, The Sound of Music
Receiving an inheritance can be a life-altering event; how you handle it can make a big difference in whether it has a positive or negative impact on your life. Stories abound of people who inherit large sums or win the lottery only to end up alone and miserable (and broke!) not long after receiving what was supposed to be a blessing.
Before you spend your inheritance, you need to think carefully to make sure you won’t end up being yet another sad “money ruined my life” story.
What did the person who gave you the gift intend for you to do with it, and how can you use it to achieve what they wanted for you?
The best way to honor the giver is to use it the way they would have wanted you to, so it’s worth considering their intentions before you make any decisions.
How can you maximize the value of the gift so it serves you well over the long term? Should you hold, spend or invest it?
Once the money is gone, it’s gone, so consider whether you might get more from it by investing it or saving it for future needs you don’t yet know are coming.
Are there any financial or other ramifications to spending it the way you want that you may not have thought of?
Depending on the size of the inheritance, spending it could trigger tax or other consequences, so it’s wise to talk to a financial advisor before deciding.
These are just a few of the broader questions you should think about– depending on your particular situation, there may be other things you need to look at.
To help you better understand the pitfalls and the promise of your gift, we offer a free guide, Managing an Inheritance, with helpful tips for managing an inheritance and more information on some of the common inheritance challenges heirs face.
The guide includes a handy checklist and information on common issues that arise when you receive an inheritance:
We’ll send you the download link, no subscription needed.
(We won’t share your email address with anyone.)
If you want to speak with an advisor to discuss your inheritance and make sure you’ve considered all of your options and their ramifications, please contact us to schedule a confidential consultation.
We’ll be glad to help you make sure there are no surprises and your inheritance is the blessing it was intended to be.