The mother sitting in front of me is death staring her husband.
And every time she argues her case, he rolls his eyes.
Her blood is simmering like lava.
And then she spins and death stares me…
“WHAT DO YOU THINK?!”, she says with a forced smile.
When she finds out what I really think, she’ll walk for sure. Worse, she’ll think I’ve sided with her husband. Which I haven’t.
Here’s the problem…
They have two sons in their late twenties struggling to scrape up a deposit for a home.
Their eldest is a tradie earning good coin but hoses it up against the wall every week on crap like expensive servo food and a flashy wardrobe.
Their youngest is renting an expensive apartment in the city and his partner refuses to go without.
Meanwhile, mum and dad are at war with each other like east versus west. Mum wants to gift them some money, Dad doesn’t.
You see, when they first married, they didn’t have a pot to pee in or a window to throw it out of.
To get started, she worked double shifts as a midwife while he was out before dawn driving trucks.
Now they’re in their late fifties, house paid off, and they’ve got some spare cash.
But mum doesn’t want her boys to experience the same hardships while dad doesn’t want to ruin them with gifts.
In his opinion, grit maketh the man, not gifts.
Importantly, neither of them received an inheritance.
However, their boys will enjoy a very handsome inheritance, something the husband constantly reminds his wife.
But there’s another thorn in mum’s side. Both her siblings have already given their kids a head start and if she doesn’t do the same, she’ll feel like a failure.
(Side note – how often do you see siblings and friends compare children?!)
And this is where gifting becomes a very hazardous intersection.
One road is paved with love and good intentions.
The other with guilt, fear, regret, or even redemption.
I often speak with parents wrestling with this exact dilemma.
Most have already done plenty – good upbringing, education, living at home instead of renting, handouts for cars, and so on.
Some people won’t like hearing this, but we’re often generous for selfish reasons. i.e. how it makes us feel.
So here’s the real question… whose pain are you trying to relieve — yours or theirs?
If it’s yours, I’m not sure money is the answer. Because at what point is enough, enough?
The couple in front of me are warring over the same thing. They want to gift their children.
The only difference is, mum wants to gift them money, dad wants to gift them grit.
Have a great weekend,
Adam
Back paddock – to a child, love is spelt T.I.M.E
It’s a Tuesday morning in March 2020. You check your super balance before breakfast. It’s down $80,000 from last week. You’re supposed to retire in four months. Your coffee goes cold on the bench. This is the scenario that terrifies every pre-retiree in Balmain. Not the abstract idea of a market crash – but the …
Continue reading “What Happens to Your Income When the Stock Market Crashes?”
You’re 52. You check your super balance: $380,000. Your stomach drops. “That’s all? After 30 years of working?” Then you remember that article you read: “You need $1 million to retire.” Quick math: You need to more than double your super in 13 years. That seems… impossible. So you do what many Australians in their …
Continue reading “Building Your Financial Herd: Investment Strategy in Your 50s”
Imagine you inherit a dairy farm with 50 healthy cows. Each cow produces milk that you can sell for income. Together, they generate enough money to live on comfortably. Now imagine someone suggests: “Why don’t you sell five cows this year to buy a new truck?” Sure, you’d get the truck. But now you only …
Continue reading “Why Your Investment ‘Cows’ Should Never Be Sold in Retirement”
Information provided by Suncow Wealth is general in nature and does not take into consideration your personal financial situation. It is for educational purposes only and does not constitute formal financial advice. Remember, the value of any investment can go down as well as up. Before acting, you should consider seeking independent personal financial advice that is tailored to your needs. Suncow Wealth Pty Ltd is a Corporate Representative No.441116 of AFSL 342766.