<prompt> Human: My mom is a recently retired school teacher and chose a pension option in which she takes less money each year, so her beneficiaries will receive a lump sum of 800,000 when she passes away. My sister and I are listed as beneficiaries so I will receive a lump sum of 400,000 when she passes. I am 25 years old and a high school teacher in New York who currently makes 55,000 a year. I have 20,000 saved in the bank and am saving for a down payment on a house I live with my parents. Some questions I have: 1.When my mom passes, will that money be added to my income and taxed by New York. I believe that the federal government wont tax any inheritance if it is less than 5,400,000.2.Would it be smart to look into getting an advance through some sort of inheritance loan? 3.What would the interest on such a loan be? Ideally, I would like to get an advance in order to buy a house now to start a family. I also believe my mom would rather see her retirement money spent now so she could enjoy it with my family then just knowing I will receive it one day. I believe that I would receive something around 270,000 after NYS income tax. In my mind, I would take 200,000 now to buy a house and pay the lender the 270,000 when the time comes. Any help is truly appreciated and please ask any clarifying questions you have. Thank you!Edit 1: My mom does not have access to that money now. She had the option to take roughly 70,000 a year for the remainder of her life or 56,000 and a lump sum payment of 800,000 which would go to her beneficiaries. She chose the latter option. Additionally, my mom is in her early 60s, but she has heart problems and smokes 2 packs a day. Although I love her, It would be out of the ordinary for her to live another 20 years. That is why she chose option 2. I would like her to see her money go to use now. I dont see her changing the beneficiaries. I know that that is a possibility, but I have great relationship with my mom and sister. I was assuming that if I were to receive a loan for the 200,000, my mom would have to sign some sort of legal document indicating that I will remain a beneficiary.  <response>: Wait, she is still alive? What happens if she decides to change her beneficiaries? If she gets some grandchildren she would rather give the money to? That money isnt yours yet, Im not sure you would even be able to get a loan against it.If you were able to, interest would my guess be around 4. That would be 8kyear on 200,000.How old is your mom? Are you expecting her to die soon? I would not count on that money showing up. Many things can happen between now and when she passes. 