Wealth Transfer Among Different Generations
Younger wealthy Americans, specifically millionaires Millennials and Gen X, are more likely to prioritize sharing their wealth with the next generation compared to baby boomers. Baby boomers plan to spend most of their wealth rather than reserving it for future generations.
Key Points
- Younger wealthy Americans are breaking from tradition by transferring wealth rather than waiting until after death.
- Wealthy Millennials plan to pass on about $4.7 million in assets, more than baby boomers.
- Encouraging trend of starting to formalize wealth transfer plans and communicating with family members.
Pros
- Younger generations are more inclined to pass on their wealth to the next generation rather than spending it themselves.
- Encouraging trend of formalizing wealth transfer plans and communicating with family members.
Cons
- Boomers intend to spend most of their wealth rather than preserving it for future generations.