When we think of the legacy we leave behind to our children, grandchildren or loved ones we always think of it in a positive light. Without careful planning the legacy that is left can be one that ends up costing your family more than anything that is left to them.

What is a Negative Inheritance?

Negative inheritance is a term that economists have used to describe the situation where a family spends more taking care of their elderly loved one than the bequests that are left to them benefit them. These costs are usually from taking care of elderly loved ones late in life. They can come in the form of lost wages, medical costs, care costs or even having to give up homes. While most family members would say they don’t feel bad for having to sacrifice for their elderly loved ones, it can have negative effects.

How to Avoid a Negative Legacy?

Making sure to plan properly for the future is the best way to ensure that there is enough money to cover the costs for care. Utilizing long-term care insurance or looking at what public benefits might be available above and beyond Medicare or Medicaid such as VA benefits. Remember that planning and saving should start now, not tomorrow. Not only does planning resolve stress on the family, having a plan in place for the future helps everyone involved.

For legal advice or assistance in elder planning, contact Stano Law group.