How Wealthy are you?

bostonerimus

Audaxer wrote: »

I can understand buying an annuity for security later in retirement, but surely we all need to keep at least a few thousand in our savings to cover our funeral costs?

Leaving enough in the estate to cover final expenses is, at the very least, good manners. I’m in the middle of some estate planning and my main goal is to make things as easy for my heirs as possible. So I’ve designates a few charities to get money and then put my house and everything else in trust for my heirs to avoid probate. As soo as I die they have access to everything and can pay any funeral bills.

milanooco

£500,000,maybe.

Wednesday2000

The bottom tenth of families have less than £3 per adult?!

That can't be correct, can it?

We are in the 8th decile, apparently.

MaxiRobriguez

Wednesday2000 wrote: »

The bottom tenth of families have less than £3 per adult?!

That can't be correct, can it?

We are in the 8th decile, apparently.

Net assets, yes.

A 19 year old just out of university who has just started work, has no pension, rents their property and used credit to fund living after graduation would have net assets in the minus figures.

Audaxer

Wednesday2000 wrote: »

The bottom tenth of families have less than £3 per adult?!

That can't be correct, can it?

Many people/families have more debt that assets so would be in negative figures. I don't know why they use a strange amount like 'less that £3' though - I would have thought the survey would use 'less than £0' instead.

Terron

MaxiRobriguez wrote: »

Net assets, yes.

A 19 year old just out of university who has just started work, has no pension, rents their property and used credit to fund living after graduation would have net assets in the minus figures.

Supposedly the poorest people in the world are newly graduated American doctors, due to their massive student debts.

Wednesday2000

MaxiRobriguez wrote: »

Net assets, yes.
A 19 year old just out of university who has just started work, has no pension, rents their property and used credit to fund living after graduation would have net assets in the minus figures.

Audaxer wrote: »

Many people/families have more debt that assets so would be in negative figures. I don't know why they use a strange amount like 'less that £3' though - I would have thought the survey would use 'less than £0' instead.

Oh right, I wasn't thinking. Still seems like a lot of people in the bottom tenth. They can't all be students?

I suppose I would have been in that position just after I left university as well.

I'm sure I could have scraped up more than £3 if I needed to though, lol.

Terron wrote: »

Supposedly the poorest people in the world are newly graduated American doctors, due to their massive student debts.

Oh, yes, I have read that too.

I read on Mr Money Mustache that US doctors are apparently very bad with their finances on the whole too. I'm not sure if that is true.

OldMusicGuy

MaxiRobriguez wrote: »

If OldMusicGuy wasn't going to wind down their capital into their later years then that's fine and another nice gesture to provide further for their child, but the child shouldn't be expecting it.

Indeed he is not. We've made it very clear that he is getting his "inheritance" now. However, he's a really nice lad and wouldn't expect it anyway.

IMO our generation had it really lucky in terms of property, both in terms of getting on the ladder and then the boom in prices, so we are happy to share some of that luck with him when he needs it (ie now). I also believe we should be prepared to pay for our later life care and thus we will likely have to sell whatever property we have left to contribute to that if we need it.

OldMusicGuy

Audaxer wrote: »

I can understand buying an annuity for security later in retirement, but surely we all need to keep at least a few thousand in our savings to cover our funeral costs?

Not if you are leaving your body to medical science like we plan to. You can also prepay your funeral expenses.

Wednesday2000

OldMusicGuy wrote: »

IMO our generation had it really lucky in terms of property, both in terms of getting on the ladder and then the boom in prices, so we are happy to share some of that luck with him when he needs it (ie now). I also believe we should be prepared to pay for our later life care and thus we will likely have to sell whatever property we have left to contribute to that if we need it.

I assume you are in a different generation to mine, I'm 43, I think my parents did have it lucky in terms of property.