Back to Smart Strategies

Make the most of your inheritance

Finances

Using an inheritance to boost your current lifestyle can be tempting. In fact one-third of people who receive an inheritance blow through it in less than two years.

"Inheritance is typically the only time in a lifetime that you'll receive an infusion of money that wasn't earned," says Bill Alexander, a financial expert and elder law attorney at W.G. Alexander & Associates in Raleigh, N.C.

However it's much smarter to maintain your everyday spending and use that extra money to secure your financial future. These four steps can help you do just that.

  1. Pay Down Debt
    First clear up any debt, especially high-interest credit card debt, says Alexander. Whether or not it makes sense to pay off a mortgage depends on your financial situation. Speak with your financial advisor about your specific goals and needs so that you can make the best decision for you.
  2. Be Sure You're Covered
    Then if you're able, purchase long-term care insurance. Research shows that someone turning 65 today has an almost 70 percent chance of needing long-term care at some point in their remaining years. With uncertainty in the health-care landscape, it's more important than ever to be prepared for the cost of long-term care.
  3. Make Your Money Grow
    Any money you have left should be appropriately invested. Consult your financial professional on how to build your savings based on your age, proximity to retirement, and personal risk tolerance. Consider an annuity to help you create a guaranteed stream of income you can't outlive.
  4. Keep It for Yourself
    If you're married, Alexander suggests keeping the inheritance in your name alone. That way, if you get divorced in the future, the inheritance is not a marital asset that needs to be split up.

 

This material is a general description intended for general public use. Athene Annuity and Life Company, headquartered in West Des Moines, Iowa, and issuing annuities in 49 states, and D.C., and Athene Annuity & Life Assurance Company of New York, headquartered in Pearl River, NY, and issuing annuities in New York, are not undertaking to provide investment advice for any individual or in any individual situation, and therefore nothing in this should be read as investment advice. Please reach out to your financial professional if you have any questions about Athene products or their features.

Make the most of your inheritance

Related Articles

Smart ways to use your bonus

Protecting your legacy
Back to Smart Strategies
About Athene Careers Contact Us Individuals Professionals Institutions
Institutions
The institutional channel includes reinsurance and group annuity contracts related to pension group annuities.
Reinsurance Pension Group Annuities (PGA) Investors Privacy Legal

Annuities contain features, exclusions, limitations and availability that may vary by state and/or sales distributor. For a full explanation of an annuity, please refer to the Certificate of Disclosure or Prospectus (as applicable) and contact your financial professional or the company for costs and complete details. This material is a general description intended for general public use. 

Annuity contracts and group annuity contracts are issued by Athene Annuity and Life Company (61689), West Des Moines, IA, and Athene Annuity & Life Assurance Company (61492), Wilmington, Delaware, in all states (except New York), and in D.C. and PR. Annuity contracts and group annuity contracts are issued by Athene Annuity & Life Assurance Company of New York (68039), Pearl River, NY, in New York state. Payment obligations and guarantees are subject to the financial strength and claims-paying ability of the issuing insurance company. Insurance products may not be available in all states. These companies are not undertaking to provide investment advice for any individual or in any individual situation, and therefore nothing in this should be read as investment advice. This material should not be interpreted as a recommendation by Athene Annuity and Life Company, Athene Annuity & Life Assurance Company, Athene Annuity & Life Assurance Company of New York, or Athene Securities, LLC. Please reach out to your financial professional if you have any questions about insurance products and their features.

The term “financial professional” is not intended to imply engagement in an advisory business with compensation unrelated to sales. Financial professionals will be paid a commission on the sale of an annuity.

INVESTMENT AND INSURANCE PRODUCTS ARE:
• NOT INSURED BY THE FDIC OR ANY FEDERAL GOVERNMENT AGENCY • NOT A DEPOSIT OR OTHER OBLIGATION OF, OR GUARANTEED BY, THE BANK OR ANY BANK AFFILIATE • SUBJECT TO INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF THE PRINCIPAL AMOUNT INVESTED 

Reinsurance contracts are entered into with Athene Annuity and Life Company (61689), West Des Moines, IA; Athene Annuity & Life Assurance Company (61492), Wilmington, Delaware; Athene Annuity & Life Assurance Company of New York (68039), Pearl River, NY; and Athene Life Re Ltd., Hamilton, Bermuda. Not all reinsurance products or structures offered are available in all jurisdictions. Reinsurers may not be licensed in all states. All transactions are subject to meeting a reinsurer’s underwriting requirements. Reinsurance products are not protected or guaranteed by state insurance guaranty associations or insolvency funds.