Losing a loved one is never easy. And, during the first days and weeks after their passing, inheritance will likely be the last thing on your mind. After all, that windfall the two of you always joked about will pale in comparison with your desire to have your loved one back beside you.
Some things in life really are more important than money.
Despite that feeling, there will come a time when a solicitor lets you know your lost loved one’s last wishes. And, if you were close, there’s every chance you’ll get some mention in the will.
In some cases, you’ll be given possession of something which once meant a lot to them. At other times, though, inheritance like this comes down to a matter of money. And, when that happens, things can get complicated.
Inheritance windfalls are often a tricky thing to deal with. After all, the idea of benefiting from the passing of someone you loved can bring along all manner of guilty feelings. What’s more, it’s natural to feel an undue amount of pressure to spend that money wisely.
Studies suggest those who receive less than $10,000 are typically willing to use it as treat money. But, if you get more than that, you may be left wondering just what you should do with it.
How can you use this money in a way which would make your loved one proud?
In some respects, it’s necessary to let go of that pressure. Dwell on it too much, and the money is sure to go to waste in your account because you can’t bear to part with it. But, it’s also possible to alleviate guilt by making sure you put that money to the best use possible.
And, to help you do that, we’re going to look at a few common avenues individuals choose to take.
The Avenue Which Makes The Most Of Every Penny
The first thing you should note is that it’s worth making the most of every penny you receive from that will.
If you’re given a lump sum amount, that’s an easy enough goal to achieve. But, money like this is often tied into collateral, such as your loved one’s home. And, in this instance, it’s all too easy to waste money on practical processes.
Only, these are likely far from what they had in mind when they left you that inheritance. For instance, if they leave you their home, you may face repairs before putting it on the market. Even then, you’ll have to pay a percentage ofthe sale money to an estate agent, as well as taking care of legal fees.
To a certain extent, there’s no real way around paying out in some respect here. It’s just not possible to sell a house without spending first. But, by clicking on the website link of companies like Flying Homes, you can at least take the sting out of this path.
Companies like this will take a property right off your hands, no matter what repairs need doing. What’s more, this is a sure way to get your inheritance fast, rather than waiting a year to six months for it.
And, the sooner you get it, the sooner you can reap the benefit of interest from your bank.
The Inheritance That Keeps On Giving
Speaking of interest, it’s also worth considering a way to invest your inheritance. That way, the money will stay and grow with you. That can be hugely reassuring when you’re dealing with a loss.
Many people opt to invest in stocks and shares here, and that could be an option for you. Bear in mind, though, that getting this wrong could lead you to lose that money with nothing to show for it. Instead, then, you may wish to invest in a more solid option, such as real estate or
even a savings fund.
You could even buy a rental property to ensure you gain an ongoing monthly amount from that initial lump sum.
If you don’t fancy that commitment, even putting the money towards your retirement could be worthwhile. If your employer also pays in a set amount,
this could still make more from your money. What’s more, this move will put your mind at ease that the cash will be there when you need it most.
In a way, options like these will make it feel as though your lost loved one is by your side giving you a helping hand. It’s certainly a fantastic way to put their money to good use.
Buy Something To Remind You Of Them
You could also use that money to buy something which reminds you of the person in question. That way, you can clear yourself of the burden, and ensure you keep their memory alive in your heart.
What would work here depends entirely on your relationship with your lost one.
It may be that you want to buy a painting by an artist they loved best, or a special edition of their favorite books. Or, you could invest in a piece of furniture they were forever saving up to buy.
If you can’t think of anything along those lines, you could approach this from a more general angle.
Why not buy a spectacular piece of jewellery you think they would like? Each time you look at that ring, you’ll remember them with a smile.
If you fancy it, you could even go all out with a tattoo in their memory.
All these are things you may want to do, but perhaps don’t usually have the funds for. They’re a fun way to spend your inheritance without feeling as though you’re wasting that lovingly passed along money.
Pay Off Your Debts
In many ways, the idea of paying debts with inheritance doesn’t appeal. After all, it’s hardly a happy occasion.
You won’t even have anything physical to show for the effort. But, debt is like a cloud over our lives, and clearing the sky can be the only way to let the sun in.
One thing you can be sure of is that your loved one would be proud of inviting the sunshine back into your life.
It may not be ideal, but this gives you a once in a lifetime chance to clear that credit card, or finally pay off that loan. And, you can ensure the money isn’t lost altogether by making sensible financial decisions from then.
If you don’t have debts like these, you could always use your inheritance to pay your mortgage. This is a merging of both paying your debts and investing that
money. And, you’ll have a house to show for it, as well.
Spending On The Future Generation
There’s something circular about spending inheritance on the next generation. This is especially the case if you lose a family member.
Your gran would probably love to see you spending that money to put your kids through higher education. This would be an ideal example of the circle of life. You could then think of your loved one each time your child advanced in their career thanks to their qualifications.
That’s not to say, of course, that you should pass money like this straight to your kids. Even in their teen years, it’s unlikely they’ll know how to spend it well. But, investing that money on their behalf is a fantastic idea.
Failing that, you could always keep it
aside and use it to help them buy a home of their own one day.
Do Some Good You Know That Person Would Approve Of
If you already have the above points covered, you could use this money to do some good you know your loved one would approve of.
This could mean donating to charities or sending money to support aid in other countries.
If you’re unsure which causes they would have best liked to support, ask the family. Together, it’s likely that you can come up with the ideal solution here.
To some extent, you may be reluctant to hand the money over with no memento for yourself. But, if you don’t need the funds, this could be the best option. At least then you can rest easy that the money has gone to a cause which did need it.
In some instances, it may even be possible to buy yourself a little reminder and still have plenty to pass on to better causes.
A Final Word
Inheritance isn’t an easy thing to deal with. While it can be difficult to explain, it often feels like a heavy burden to bear. But, if you keep your loved one in mind throughout your decision, there’s no reason you can’t put that money to the best use.
The main thing to do is make sure you know where you’re spending. If you fritter the cash away on small expenses, those feelings of guilt will only grow. Instead, keep this money separate. That way, you can be sure of doing your loved one proud.
Disclaimer: This is a collaborative post.