A good friend of mine, who is a famous procrastinator, recently gave his wife a gift of an estate plan. She wanted some peace of mind about their financial future and to know that her children would be provided for financially, and she told me later that it was one of the nicest gifts she'd ever received.
Another good knowledge gift for a spouse is a clear, accurate picture of your joint financial health. You might put the details of your financial life - everything from insurance policies, credit card information, brokerage and bank accounts, mortgage details with account numbers, balances, beneficiaries, and contact information - down on paper and give it your spouse. Then make sure he or she knows how to use that information.
FOR YOUR PARENTS
You may even have the opportunity to give the gift of knowledge to your parents. If they're having trouble financially, help them make sure they're getting all the benefits to which they're entitled, such as pensions and Social Security. You might need to guide them in creating a workable budget. You could show them how to turn their home into income through a reverse mortgage or point them to income-oriented investment opportunities. If their health is declining and they have limited resources, assist them by investigating long-term care possibilities.
In other words, take a look around at your loved ones. I'm sure some of them, and perhaps most of them, could use some advice on personal finance. It may be impossible to wrap knowledge and put it under the tree, but knowledge is a gift worth giving. And it should pay dividends for years to come. Happy holidays!
