If you have a Thai wife-Face Reality.
By Dave Thrifty
Many “farangs” living happily in Thailand, with a young Thai wife and small children, live with their head firmly in the sand. Some are afraid to look at their future and what will happen to their children when they pass away. Others are preoccupied with themselves and while they pay lip service to the love of their wife and children, in reality they don’t mean it or circumstances combine to prevent them from carrying out their moral duty.The reality which I think many expats do not want to face is that because of the age difference most of them will be long dead before their children are adults and able to fend for themselves.
Let’s look at two typical examples of married couples living in Pattaya.
First, Loren is at least 25 years older than his wife Khun Ning and they have two small children
Loren is one of the expats who has never faced up to the fact that he will be dead long before Ning.
When Loren dies Ning will have by Thai standards a small but livable income. There will be no money to educate the children properly and the outcome is gloomy for his family.Chances are Nit will have to give up the rented house they live in in Pattaya and return to her home where the children can get a village education with probably little chance of higher education and more than likely a career as a m/cycle taxi driver as opposed to a doctor.
Loren may be able to provide for education while he is living but if he wants to do this after he’s gone the only way is through life insurance. He can take a life policy written in trust; appoint trustees to make sure that after he’s gone the money is used to educate his children and not to buy a new pickup for the family. Many expat husbands don’t want to take out life insurance as they see their spouse running around Pattaya in a Ferrari and the children neglected at home. In reality it’s probably another excuse to procrastinate.
Second example is Oscar. He resembles Loren in many ways, has a 29 year old wife and two infant boys
The difference is that Oscar, who is 70 years old, has quite a bit of money stashed away.He likes his wife Malee’s family but does not visit there too much because of the pressure they put on her to give them money. He does help them financially but his main concern is that on his death Malee will not be able to withstand the pressure on her for cash from the family. I feel sure that for many expats this example is all too real. In his own mind he sees his lifetime savings squandered by Malee’s family.However a good financial adviser could solve Oscar’s problems.
If Oscar arranges it properly, not only will the taxman not be following him into the grave but he can also organise for a monthly income to be paid to Malee who will have no access to the capital, thus keeping the in-laws off her back.
With the balance of his estate he can set up an education trust. He can appoint trustees to ensure that the annual school or university fees are paid directly to the institution and long after his death his sons can graduate as lawyers or doctors.Malee is not financially sophisticated and none of this is set-up to deceive her. Oscar can sit down with his financial adviser and explain to her how it has all been arranged and what she should do on his demise. She will then be able to explain to her family that a new pick up and the five rai of land going at a bargain price is beyond her financial ability.
Is this not a recipe for peace of mind for Oscar and for Malee also?
So it really is time to face up to your responsibility to your children and your Thai wife.Learn to live comfortably.
For further information email David.firstname.lastname@example.org