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“Hi. Could I borrow $5000? Only if you have it available from a cash source (don’t want to cause taxes for you). We depleted our HSA with all the medical expenses in the last year and still have bills to pay. I would need to start selling off stock and mutual funds at this point and pay the taxes on the earnings.”
I told him I would not loan him the money, but I would send the $5,000 immediately which I did. Is there any other choice? Not for me.
His wife is one of our three daughters in law who are dealing with breast cancer. The third is having surgery this week.
Of course everyone realizes the mess we have when it comes to paying for healthcare.
In this case there is a $3,500 deductible and $6,500 annual out of pocket limit. This son is fortunate in one way, his employer pays the entire $3,600 monthly premium. Our other children are not so lucky with deductibles of $5,000 to $7,000 and high premiums. HSAs may help, but as you see, once they are used, you must start over.
I suspect our youngest son will need help during their health care crisis too and we are glad to help and very grateful we are able to do so. Most people are not so fortunate.
Dick, I am sorry to hear of your families health issues. I pray for good outcomes for each of them.
Been there, done that. Two years ago, I started giving our two children $15k each year, rather than wait until we die to get any inheritance. The only stipulation I had was for my son to establish an emergency fund. My daughter is a SAHM and manages her family’s funds very well. I know from casual conversations that my son used most of his money for a new roof and other home improvements which is good, but apparently no emergency fund.
Fast forward to this month. My son’s work truck transmission went out and it cost almost $5k to repair it. He did not have the cash so dear old dad covered the cost. I may reduce his end of year gift accordingly, since he did not establish an emergency fund.
Years ago, we sent both of our kids to church summer camp. We gave them both the same amount of spending money. At the end of the week, my son had run out of money and had borrowed $10 from one of the counselors. Our daughter came back with half of her money unspent. How can kids be so different? This was a precursor for their future lives.
Be grateful that your circumstances were such that you didn’t need to advise them to stick it on a credit card and carry a balance?
More seriously, I’m pretty sure most people who had the means would do similar. I’m glad I’m not exposed to the US healthcare serpents.
So sorry to hear of these difficulties for your family, Dick, especially your sons and wives. They are blessed to have your emotional and financial support, as well as your physical proximity. Must be comforting for your grandchildren as well. My prayers are with you.
Good analysis of the problem and thankfully your family has you in their corner.