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Most of the advice is good, but I disagree with some generalizations: "My one big mistake in life has been providing a trust fund for my five children. I’m ver

Most of the advice is good, but I disagree with some generalizations: "My one big mistake in life has been providing a trust fund for my five children. I’m very comfortable paying for an education for as long as they want to study in a reputable university. However, providing additional funds so they could have a lifestyle beyond what they have achieved on their own was a mistake." - DICK RESCH I don't know how big that fund was, and it might have been a mistake in his particular case - but I can tell you that the opposite (not providing any financial help under the "you must get ahead on your own" mantra) creates a lot of bitterness - missing U$ 10.000 for a down payment to buy a house (which I wouldn't mind having loaned, not a giveaway) and having to keep on paying rent and toiling at an awful company, while your parent inherits several millions, hurts. So does not having the possibility of asking for seed money for a startup, and having other people deny you by saying "your wealthy father doesn't invest in you, so why would I?". (note: I'm 32, I know I should have some money saved away by now, but I did make mistakes - actually I think I prove my point, not giving money doesn't guarantee your children won't make mistakes :P )

loceng 13y ago
Making money after a college education back when your father went through school is much different than today - total apple and orange comparison based on how the world has shifted to global economy and economies of scale and automation are at an all-time efficient high (and it's not all benefit).
sneak 13y ago
> which I wouldn't mind having loaned, not a giveaway It is fraudulent to make a down payment for a mortgage with borrowed money according to most mortgage contracts. IIRC even gifts from parents for down payments generally need to come with documentation clearly stating that it is a gift and not a loan.
- cowsandmilk 13y ago
  as someone going through the mortgage process currently, I can specify that some of my down payment is a loan. Not sure what you are talking about. If you hide the fact that it is a loan, maybe it is fraudulent? But it very clearly is allowed as I can specify it in the paperwork.
graeme 13y ago
I sympathize with this. There were points when an extra $1,000 would have made all the difference in the world. And there was one point, following a major health problem, when a few thousand from a grandmother prevented me from having to switch away from long term priorities. But would I have acted differently if I knew there was a trust fund? I think I might have. Not having one created a sense of urgency. Would a good policy be promising nothing, then giving it when you see it will be put to good use? I don't know – any parents figure this one out.
bedhead 13y ago
His other mistake? Perhaps all the womanizing and general doucheyness. I am shocked - SHOCKED! - by the implication that his kids turned out to be spoiled brats. http://www.jsonline.com/news/wisconsin/43255322.html http://www.jsonline.com/news/wisconsin/43255322.html
- RabbitAngstrom 13y ago
  Following the source -- excellent idea. I bet most of the rest of his class has a similar searchability...
melling 13y ago
Why would it create bitterness unless the child felt entitled, which is not a good quality? The person was probably already dealt a better hand than most people on the planet. I, like many people, had to borrow the money for my college education. I managed to pay off my loans (public university) and buy my apartment in my early 30's.
- refurb 13y ago
  I have to agree with this. Life is a lot easier when you look at gifts as truly gifts and not obligations. I received zero dollars from my parents (of course I got a basic roof over my head) even though they were upper-middle class. If I did get something I would have been grateful, rather than having a "it's about time" attitude.
- GFischer 13y ago
  I worked my way out of university too (my father hadn't inherited money by then) but I haven't finished with loans yet.

loceng 13y ago

Making money after a college education back when your father went through school is much different than today - total apple and orange comparison based on how the world has shifted to global economy and economies of scale and automation are at an all-time efficient high (and it's not all benefit).

sneak 13y ago

> which I wouldn't mind having loaned, not a giveaway It is fraudulent to make a down payment for a mortgage with borrowed money according to most mortgage contracts. IIRC even gifts from parents for down payments generally need to come with documentation clearly stating that it is a gift and not a loan.

cowsandmilk 13y ago
as someone going through the mortgage process currently, I can specify that some of my down payment is a loan. Not sure what you are talking about. If you hide the fact that it is a loan, maybe it is fraudulent? But it very clearly is allowed as I can specify it in the paperwork.

graeme 13y ago

I sympathize with this. There were points when an extra $1,000 would have made all the difference in the world. And there was one point, following a major health problem, when a few thousand from a grandmother prevented me from having to switch away from long term priorities. But would I have acted differently if I knew there was a trust fund? I think I might have. Not having one created a sense of urgency. Would a good policy be promising nothing, then giving it when you see it will be put to good use? I don't know – any parents figure this one out.

bedhead 13y ago

His other mistake? Perhaps all the womanizing and general doucheyness. I am shocked - SHOCKED! - by the implication that his kids turned out to be spoiled brats. http://www.jsonline.com/news/wisconsin/43255322.html http://www.jsonline.com/news/wisconsin/43255322.html

RabbitAngstrom 13y ago
Following the source -- excellent idea. I bet most of the rest of his class has a similar searchability...

melling 13y ago

Why would it create bitterness unless the child felt entitled, which is not a good quality? The person was probably already dealt a better hand than most people on the planet. I, like many people, had to borrow the money for my college education. I managed to pay off my loans (public university) and buy my apartment in my early 30's.

refurb 13y ago
I have to agree with this. Life is a lot easier when you look at gifts as truly gifts and not obligations. I received zero dollars from my parents (of course I got a basic roof over my head) even though they were upper-middle class. If I did get something I would have been grateful, rather than having a "it's about time" attitude.
GFischer 13y ago
I worked my way out of university too (my father hadn't inherited money by then) but I haven't finished with loans yet.