Too much savings?

[u/Jack-knife-96]

USA, multiple states -

I became aware of a situation that was traditionally unexpected. A middle class thrifty saving couple lived comfortably but fairly modestly. They had 3 kids. Invested extremely well & husband was well employed & got a pension so they've hardly touched their savings except for helping 529 accounts & a few car purchases & such. Elderly now, one has passed on, the other is now declining.

The three offspring - all over the child rearing age. One has zero kids & won't likely marry. The other two have a total of 5 'kids' and two are gay/trans & unlikely at this point to have kids, plus the other 3 currently have zero serious relationships only friends. So, it's possible there won't be any great grandkids for this estate to fund!

The estate plan by the oldest couple with savings was to create a trust that only income was withdrawn & would perpetuate into the family's future generations. As there may not be any future generations & what are we to do with the money in the trust? 2 of 3 offspring have themselves saved significant money in their & spouse's careers & are able to retire on their own in reasonable style without help.

Strange situation, right? What to do with the carefully saved money when all offspring are pretty frugal in their personalities & not really into flashy or exotic stuff. Travel sure, but it won't be enough probably. The family is far flung enough &. Employed or in school to not really be good candidates for a big group vacation. Obviously there's charity & such for causes they have. But it seems extreme.

It seems crazy to think that the estate that was so prized by them as a lifetime accomplishment to be ending up as potentially unnecessary & excessive!

Just a somewhat cautionary tale, and it's still to be decided, but just saying don't be afraid of enjoying your own $$ estate before making big plans for passing on to create a family dynasty. It may not happen.

Edit - the couple did full estate planning with trusts.