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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Not to take the money my parents have offered?

60 replies

ChristmasPudding83 · 21/01/2024 11:55

This revolves around a big house/ area move (sorry it’s a long one). I do realise we are in a good position in lots of ways and this is probably a low ranking problem on a world scale, but it’s doing my head in!

I’ve pretty much always lived in the same area, where my parents are about half an hour away and we see them a lot, and many friends from school plus others made along the way. My OH has lived around here for 30 years but didn’t grow up here. It’s a famously expensive and unaffordable town for buying houses but because we have both been on the property ladder for years and had some help from parents do own a house which is worth quite a lot though it is a fairly small terraced house with a small garden (it’s a nice looking house in a nice area). We have two children who go to a really good local primary school, though secondary school options are iffy but we’re not there yet.

About a decade ago, my husband and I started a quite unusual ‘rural’ business. It was hard work and is never going to be massively lucrative but we have been successful and enjoy what we do, and now do earn enough for things not to feel really tight. However we need a very specific kind of premises to run the business - most people who have this kind of business live there. We started ours by renting somewhere else to run it at, which is 20 minutes drive away, but we have really outgrown the place we rent and for other reasons too it increasingly feels like time to move on from there. However because of the area we’re living in, buying or even renting somewhere else to do the business is proving totally unviable (believe me we have looked!) - there aren’t many properties that would work and when there are they go for way way over our budget.

For the amount we have in our current house and savings plus what we can get for a mortgage we COULD completely relocate and buy a bigger house/ property where we could live and run the business, but it would mean moving far away: realistically Wales or Scotland (which would be 4-6+ hours from where we are now and my parents) to get the size of house we’d want to be able to have people to stay.

However my parents came into some money a few years ago and have offered to give us quite a large sum out of that to help us make this move possible. If we accepted this money, our budget still wouldn’t be enough to stay in the area we live now but would mean we could probably be more like an hour or two away. They have said this would be effectively me getting my inheritance early (and in fact they will change their will if we do it). They want to be supportive of our business which we’ve worked hard to get where it is now and say they’d like to see us enjoy the money while they’re still around.

However I feel very uncomfortable about taking the money. I have three siblings and while they have all had help in the past to buy houses etc I know my parents couldn’t afford to give us all the same amount of money they are talking about giving me before they die. My siblings seem fine with the idea of us getting the money now but I worry about what might happen in a few years time if something changed (and are they REALLY fine with it deep down? I’m not sure I would be). My dad has also alluded in passing to other projects/ charity contributions they won’t be able to do if they give us this money . I also think it just ‘feels wrong’ and would make me feel like I should get them to approve wherever it is we choose or want to move to and that we owed them too much, and really I’d much rather feel like we’d done the move standing on our own two feet.

I feel quite torn though. Moving that far away when my parents are getting older feels a bit wrong and while a big part of me feels it would be a really exciting adventure to start a new life somewhere else (I never thought I’d be the kind of person to live all my life where I grew up!), part of me also worries about things like making new friends and what impact this might have on the children.

The third option is to stay put but then we couldn’t carry on with the business long term so it would mean dreaming up a new career for both of us. I’ve put a lot into studying and building up networks etc for the job I’m doing now and it is something I’m passionate about. Plus I love the flexibility of having our own business. But maybe the sacrifice of moving far away is too much for a job, however much you like it!

OP posts:
DustyLee123 · 21/01/2024 12:06

If you take that money, then your parents use the siblings inheritance due to their care needs, what then?

ChristmasPudding83 · 21/01/2024 12:09

Yes this is the kind of thing I am worried about!

OP posts:
CoffeeMachineNewbie · 21/01/2024 12:12

Dont do it. Your gut is telling you it's a bad idea so listen to it.

berksandbeyond · 21/01/2024 12:15

Can you parents ‘invest’ in your business / become business partners to sort of legitimise their financial involvement? When they’re gone, you can inherit their share of the business (and their other money can go to your siblings). Just make sure it’s all watertight legally

Blanketpolicy · 21/01/2024 12:16

Are there not tax implications of gifting large amounts of money that you would need to consider too?

MCOut · 21/01/2024 12:31

Can they loan you part of the money instead of gifting it to you? Or can your parents potentially have part ownership of one of your assets?

Talk to your parents and siblings again. They may genuinely be fine with it because they would rather have you nearby.

BorgQueen · 21/01/2024 12:33

The only tax implications are for potential IHT, should one or both die within 7 years but if the amount given exceeds £325k then there is a tapering allowance ( only OVER the allowance mind you)
If both parents survive 7 years then there is nothing to pay.

SaturdayGiraffe · 21/01/2024 12:37

So just to clarify, if you don’t move premises you will have to close the business?

Primrose28 · 21/01/2024 12:39

I think you should seriously consider this. If my parents offered to do this for my sister then I would genuinely be fine with it, particularly if it meant them staying close by.

No one knows what the future holds but the practical and emotional support you’ll be able to provide your parents and share with siblings if close by is not to be overlooked and could be priceless.

Definitely talk to them all again - my parents are aging and I wouldn’t want to be that far away or for my children to miss out on their grandparents if I had any choice.

Roussette · 21/01/2024 12:40

I don't understand why you have to move 4-6 hours away when you are running the business now successfully where you are. Why can't it be 1-2 hours away? Are you saying there would be no suitable premises within a 4-6 hour drive at all?

Surely there must be?

declutteringmymind · 21/01/2024 12:41

I just wouldn't do it.

Would you do it if managed to secure a business loan? If so then your parents can do similar. If not then find another way.

Perhaps carry on as you are, save up for the move, or rent bigger premises.

I would mix business with personal life- that's when poor decisions are made. If the bank will lend you the money to acquire the business premises then they think you're worth backing , if not then don't risk your inheritance over it.

declutteringmymind · 21/01/2024 12:41

Sorry, I wouldn't mix business and personal life.

BassoContinuo · 21/01/2024 12:45

Would your business still be as profitable if you moved? I’d be concerned that I’d taken money and then the business doesn’t work out - or is it something where location doesn’t matter in terms of clients etc?

rwalker · 21/01/2024 12:47

I wouldn’t but also I don’t think I could move hours away from friends family and social life
for work

bessytedsy · 21/01/2024 12:48

I would have said yes, no question. However the fact they can’t help your siblings until death & then that may be eaten into with care fees I would say it’s potentially a recipe for disaster

Beamur · 21/01/2024 12:48

Your parents have come into an inheritance - so they haven't really had the benefit of this money and can see a way of helping you to stay closer.
If you were worried about being advantaged over siblings, maybe your parents could adjust how they split the rest of their estate?
Having you nearer also could reduce the burden of supporting your parents if they start to need it.
I think there are ways to do this fairly and I wouldn't reject it without careful consideration.

Loopytiles · 21/01/2024 12:53

Wouldn’t take the money. Unfair on parents and siblings.

Would base business / what to do for paid work decisions on what you can pay and ‘where to live’ decisions on a range of factors, beyond the business.

SD1978 · 21/01/2024 12:54

Are you 100% sure that your niche business has a market 4-6 hrs away? Would you be able to build up a new client base? Are the costs/ profits the same in the other areas you're looking at? It you fail to build a base there, do you have a back up plan? Can you treat at least some of the gift as a loan, if you're concerned about the implications to your siblings?

ChristmasPudding83 · 21/01/2024 12:57

Our current agreement expires in May 2024. We can probably extend another year or two but after that we can’t. It was designed to be tenancy for start-ups and we’re not really that anymore (plus there have been some other changes with our landlords now which make staying put more difficult)

OP posts:
GreatGateauxsby · 21/01/2024 12:57

I don't know the answer but I would also have serious concerns and reservations about accepting any of the money.

Especially as it doesn't even keep you in the area. 1-2 hours is still a long journey/ slog

The collateral fall out with siblings is a huge unknown...and it could be massive.

ChristmasPudding83 · 21/01/2024 13:02

Our current business tenancy is ending soon and will only be renewed short term. We couldn’t really live further away than we already do from it and it be workable so if we moved premises we’d have to move house.

OP posts:
ChristmasPudding83 · 21/01/2024 13:04

Yes it is and that’s also a reservation of mine. But it would be at least feasible to visit for a weekend or inside a day at a push, whereas once you’re 4 hours plus then I feel it is really holidays only. However I do know loads of people live this far from parents so I wonder if that is a bigger thing in my mind than reality?

OP posts:
Nestofwalnuts · 21/01/2024 13:06

DustyLee123 · 21/01/2024 12:06

If you take that money, then your parents use the siblings inheritance due to their care needs, what then?

Uf that happened, it would be time to sell your house and split what your parents gave you three ways, taking into account any help they gave siblings earlier.

I would accept the money but clarify something fair with siblibgs in the event taht their inheritance shrinks.

ChristmasPudding83 · 21/01/2024 13:07

There are some pretty big challenges in actually moving the business but yes we are confident the market would be similar (and lots of our business isn’t really place specific). Generally costs should be lower e.g. we wouldn’t have to pay rent, our commuting costs would be lower etc. We’ve done a business plan for it but I guess it is hard to know exactly how things will pan out and there is definitely an element of risk.

OP posts:
Candleabra · 21/01/2024 13:07

I wouldn’t do it. And I wouldn’t be fine about it if my parents offered to do this for a sibling - but I’d probably feel I had no choice.
It feels like you’re holding the big move over them and they’re desperately trying to entice you back.

(I’d be fine with the early inheritance in principle as long as it was fairly split - this isn’t)

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