Giving money to adult children.

[Utterlybewildered]

I do have a financial advisor who I am due to see in a few months. I am a widow and our mortgage was paid off just before he died. I am in my early 60s - still working because I enjoy it. When I retire in a few years- I will get my state pension, a work pension and each month I get a small pension from my husbands job. I will cope - I don’t want much - I just want my children settled. As my husband died at work - I was given a lump sum and 10 years later it’s still in the building society - in a bond so gaining interest. I don’t want it and always thought when anything happens to me it will go to the kids. I am thinking now just to give it to them so that they can get a deposit to get on the housing ladder - 1 has his own place - the other 2 rent- they are all in their 30s. I don’t know how viable that is - I know I can ask the advisor but I jus5 wondered if it was mad idea.

It's a good idea. You can give them gifts of money and as long as you don't die within 7 years, they won't be clawed back into inheritance tax. Just give equally, regardless of their circumstances (not a tax point, a family equality point )

I agree it’s a good idea, it would help them now.

It is a good idea.

Totally agree and I will be doing the same in a couple of years by selling my rental property and using part of lump sum. As a PP says, it will save on inheritance tax. You are young enough that it most probably wouldn’t be seen as deprivation of assets for care purposes. Make sure you have sufficient savings left for any house maintenance etc.

Yes, great idea. Get legal advice on how best to do it. You’re wonderful for wanting to help your adult DC.

I think you need to be absolutely sure that your pensions will be enough to live off but if so then yes it's a great idea.

It will be worth more now than in x years time when you pass away - there is no way the interest accrued is keeping up with inflation. So (if you can afford it) it would be a good idea to give it to them now as they will be able to do more with it now.

Yes I would do that and make it clear to them that is more or less their inheritance come early.

Definitely the right idea as long as you don't need it for world cruises etc.

I was a financial adviser until about 4 years ago and it amazed me how many people sat on money they'd never need and so much inheritance tax paid. Even if IHT is not an issue, supporting your kids will make such a difference to them now and you get to see that.

Might be worth just checking it won't affect them in terms of benefits etc.

It’s a great idea, split it equally between them.
This way they get an inheritance, if your money were to all go on your care.

Thats a really good idea. That way they won't have to pay tax.

Lovely idea! It will be so nice to see it change their lives too, how very kind X