<prompt> Human: My mom passed away recently and my father was the sole beneficiary on her life insurance. He claims its too much money for him and wants to give my sister and me 50K each. What is the best way to get the money to us without taking a huge hit from taxes? He was thinking of opening an account and my sister and I can take out the money as we need it. Any better ideas?tl;dr: How can my dad give me 50K without a huge tax hit?  <response>: If you are just talking about US federal gift taxes, you have nothing to worry about, unless your dad plans on giving away over 5M 10 if he is claiming your moms exemption too dollars when he dies. In the US, gifts are only taxable above that 5M in a lifetime. Even then, the giver pays the taxes not the recipient. If he gives any one person over 14k a year, he has to file a little paperwork, but really it just to keep track of his gifts, not creating a tax liability. Otherwise you can give as many people as you want, 14k a year, forever with no tax consequences. 