As parents we will always care about our children and want to help them out as much as we can. However, some of them will be more demanding than others. Some may even ask for money or we may want to help them out financially and give them money. However, there are advantages and disadvantages of doing this and it is a good idea to make sure that you have a think about these before you give them any money.
They may not learn to be independent
By always helping out someone financially it can mean that they will not learn to be independent. They will know that they will not have to budget or be careful with what they are spending because they will be able to ask for money if they need it. This can okay as long as you are able to give them what they need, but you will not always be around to help them and then they could struggle massively to cope.
There may be jealousy
If you only give money to one child but have more than one, there could be jealousy in the family. They may see it as unfair and it could mean that the person who is not getting the help may feel annoyed at you as a parent or at their sibling for wanting the money. This can cause big ruptures in the family relationship as jealously can often run through a family anyway as this can make things a lot worse.
You may run out of money
There is a possibility that you may run out of money as a result of giving it away. This could mean that you will struggle yourself and if you need something then there may not be the money to buy it. You may not feel that you will need it but you never know what you might want in the future, such as paying for a carer or care home, moving into an expensive bungalow or even going on a nice holiday.
You will get to see them enjoy their inheritance
It can be nice to watch your children enjoy the money that they will otherwise inherit. If you give it to them early then you can see what they spend it on and it can be lovely seeing them enjoy it. You might also feel like you want some control over how they spend it and perhaps offer it as a down payment on a house or something like this.
You can have the pleasure of helping them
It can feel really nice to help your children. To be able to give them a hand financially can feel great, especially if they are in real need. If they have to wait to inherit, then you will not get to help them right now and they may need it now more than they will in the future.
You can prevent them from borrowing or struggling
If they have to borrow the money then they will have to pay for the loan or they may decide not to borrow and struggle without the money. It can be hard to watch them struggling like this and it can feel much better to help them out.
There is a lot to think about and it should not be a decision that you take on lightly. You need to be confident that you are making a decision that is both right for you and for them. It might be better to lend them the money rather than give it to them and this will mean that you will not risk running out of money, they will have to give more thought to it as they will not just be able to keep it and will have to learn about repaying money.