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Post by troop on Dec 2, 2009 19:35:12 GMT 1
sounds like a fantastic opportunity go for it if you can xxx
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Post by kt with Hanni on Dec 3, 2009 0:02:50 GMT 1
Hi,
Thanks for yu lovely comments. I know I am a very lucky person to have this opportunity. Basically it's a bit vague at the mo and i'm just contacting my grandfather to establish whether the money is fully a gift or whether eventually he will want the money back. I am also very lucky in that my grandmother who committed suicide a few years ago left the 4 grandchildren money but we don't get this until we are 30 (3 years for me) now this is quite a sum so I could potentially pay my grandfather back. I'm hoping that if I can borrow the money then at least I won't pay so much interest and if he wants money back in the future it's there also as an option. You may be right about the inheritance tax though! A lot had to be paid on my grandmothers property! Any tips would be great :-) properties with paddocks are quite pricey in Oxfordshire!Thanks again
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Post by lawyerbunny on Dec 3, 2009 15:21:13 GMT 1
What a wonderful opportunity! Keep us posted if you decide to go for it, very exciting!
Agree absolutely re getting the tax issue sorted out as to how the IHT liability would be funded if he were to die within 7 years.
If it were me, I would be thinking very carefully too about whether a smallholding would be the right thing to do. It's a lot of work do your own horse(s) anyway, and managing and getting the best out of any land is a big thing to take on (heck, even my front garden taxes me!!). Having Twig at home would be a dream for me, too, but I also know it would be a LOT of work, and that I'd get lonely and have no-one immediately to call on for help if I needed it. I remember you saying that you've had a lot of stress at work recently, too. Would putting more work on your plate be the best thing? I know for me it's a dream I need not just the money to pursue, but a lot more time in my day too. Please don't think me a lemon, (I'm really excited for you!!), just wanted to share my thoughts. x
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Post by kt with Hanni on Dec 3, 2009 20:10:37 GMT 1
I understand what you are saying Lawyerbunny no worries :-) I too myself was questioning the same thing! Which is why when I was thinking about it if I did try and find something with a paddock it would be not too large but enough room for Hanni and perhaps a shettie for company. Yes you are right about my job it's stressful :-) I have a job interview soon for another job but in my town so I could walk to work (also my dream!) and it's reduced hours so potentially I would have a bit more time on my hands. I'm thinking it through very carefully :-) Just found out total cost to pay my morgage off completely. Thanks for advice and nice comments :-)
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Post by kt with Hanni on Dec 6, 2009 23:33:14 GMT 1
I've been thinking more and more about this and discussing it with my parents. My Grand-dad has always been lucky in that he has had money. He can be impulsive and doesn't often think about consequences. My parents and I were discussing it last night and I have decided that if my grand-dad wants to loan/give me the money then I want him to give the other grandchildren the same as it would just not be fair. To be honest i don't think he has even thought about the others (him being impulsive as he loves animals as much as me and wants me to have a set up a bit like his). Don't get me wrong I am over the moon about the idea but I need to ensure everybody is fairly treated. I am meeting him next weekend to discuss but if he doesn't want to help the others then I think I will just walk away. My relationship with my family is much more important than money. Would you do the same?x
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Post by lawyerbunny on Dec 7, 2009 14:48:50 GMT 1
Absolutely. Nothing is worth risking upset and division, IMHO. However much this is his decision, (and there is a grateful art in receiving!) if there's a risk of this causing problems in the family, it wouldn't be worth it for me. It may be that the others wouldn't want him to do the same, or would want something different, but if sitting down and talking it through, and making sure everyone feels involved an not overlooked saves what could be a lot of upset, it's well worth it. Good luck, hope it works out!
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Post by kt with Hanni on Dec 13, 2009 19:07:02 GMT 1
up
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Post by kt with Hanni on Dec 13, 2009 19:38:58 GMT 1
I met with my grandfather and his wife today. There proposition is a gift of £500,000 for a small holding. Anything over this and I can pay them back in 3 years. My grandfather desperately wants to see me have a smallholding with animals as he knows how much i've always wanted it. In 3 years I would have the opportunity to do t then but I believe he wants to see me do it now so he can see me enjoying it (he is 83) Now I told him that I am overwhelmed by the offer but felt if I took the money it wouldn't be fair on my immediate cousins and brother. His wife has her own adult children who she has bought various things for but said not everyone can have money given if they don't need it for anything particular. She also said the other grandchildren hadn't really made an effort to visit etc. Then they said they would give them some money but may not be able to gift me as much as £500,000 which I'm fine about as any money is a bonus. They said I could mention it to the others and see what they think. I feel for my dad and aunt as he hasn't offered them anything but I know they don't hold a grudge against me. My dad has a distant relationship with my grandfather so does the aunty. What would you do in my shoes? I plan to speak to my brother and cousins at xmas and see what they feel.
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Post by Mellymoo on Dec 13, 2009 19:44:31 GMT 1
If it were me I would take the money - you mention other grandchildren have not made an effort, so it would serve them right to get nothing (I hate people who don't keep in touch for no good reason, then expect a load of money as an inheritance).
Whatever you decide, good luck with it all!
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natalia
Grand Prix Poster
Posts: 2,103
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Post by natalia on Dec 13, 2009 19:56:43 GMT 1
Hmmm, well, I would personally just go for it. Your right about i. tax issues and look in to this first. I wouldn't worry about your cousins also, as if they aren't close to him I don't see why they should benifit. Also you say your grandfather shares the same views as you, so surely he would be happier in knowing that his money was going on to create a legacy that he would always want to be within the family, rather than spent on silly things like cars and holidays.
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Post by kt with Hanni on Dec 13, 2009 21:15:46 GMT 1
This is a really hard decision! Just spoke to my brother. He was impressed at the offer and said he wouldn't feel bad if I took the offer but I'm not sure I could live with myself by taking it without them having something back. Trying to get hold of cousins now to talk to them.
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Post by donnalex on Dec 14, 2009 10:44:41 GMT 1
I would tell him that you are very grateful for the chance and would love to accept his offer if he still wishes to do it in maybe a months time, so that he has time to reflect or a cooling down period if you like. That way no one can accuse you of anything underhand. As you say he is 83, he cant take it with him and if you wait till he dies you will have all the inheritance tax to pay, as will anyone else wh inherits it from him. Go for it, its a once in a lifetime opportunity. But I would not pay over the £500,000 for a farm, why saddle yourself with debt or mortgage when you have been handed the opportunity to be mortgage free for life? Buy what you can with the money. What area are you going to be looking in? Im sure that you will have enough to buy what you need.
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Post by donnalex on Dec 14, 2009 10:48:16 GMT 1
I think if your grandfather lives for seven years after he has gifted it to you there will be no inheritance tax to pay. If he dies before that then each year he lives will bring down the percentage to be paid as I understand it. If he buys a place that has agricultural status and gives it to you I dont think there is as much to pay anyway but he would have to buy the place and give it to you rather than give you the money. That is how it worked when my husbands parents died, it could have changed since then but worth looking into.
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Post by anastasia55555 on Dec 14, 2009 11:02:55 GMT 1
i would hope that they would all be very happy for you, getting the one thing you dreamed off. Maybe ur grandad feels that some of the others dont need as much help money wise as the others? also maybe they dont have something like a small holding in mind, so he is doesnt want them to whittle and waste the money, when he knows you will do something with it that he would be very proud of. As long as you check all of the financial/tax issues, i would definetly go for it!:-)
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Post by kt with Hanni on Dec 19, 2009 17:08:40 GMT 1
Hi Everyone. Thanks for the messages. I've accepted the offer!!Spoke with the cousins who said if he offered them money they wouldn't accept anyway as they have no reason for it! So he has started putting word out to estate agents in Oxfordshire! I've asked him to check the tax stuff and he will with the accountant. I'm very excited! I'm paying my bro some money in 3 years so he benefits also. Looking for properties now which may be harder to find! Just found this, what do you think? www.ruralandequestrian.com/601.htmlAnything over £500,00 I have to pay back (I also inheriate money from my late gran which would cover probably going to the 650 mark.
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