Individuals who do not have a lot of cash often dream about what they would do if they unexpectedly got a windfall. They think about how they would invest the cash, that is and not about how they would handle it. There is a reason the old concern is “What would you purchase if you won the lottery,” and not, “How would you manage your money if you won the lotto?”
This develops a concern for people who desire to leave large inheritances to household members who are not already individually wealthy.
When you plan to give an inheritance to someone, you typically contemplate that he or she will probably invest some of that loan to buy things. If you offer someone a large lump amount, you have no method to prevent that individual from investing it all as soon as possible.
There are methods that you can prevent your relatives from squandering their inheritances. This develops a larger inheritance than the giving the same quantity as a swelling amount would.
Ask an experienced estate planning attorney about setting up a Trust to leave an inheritance for your relatives.