| Baby boomers hold over half of the UK wealth and should start legacy planning now | Gen X can benefit from early financial advice to simplify future decisions and manage inherited wealth | Millennials are motivated to build wealth and should start planning early to prepare for what’s ahead |
Over the next 30 years, an estimated £5.5 to £7trn in wealth will pass from one generation to the next in the UK. This significant transfer – of money, property and other assets – will happen through inheritance, gifts and estate transfers. Understanding how it could affect your financial future is crucial, no matter what life stage you’re in.
Starting the conversation – how to protect what you’ve built
Baby boomers (born 1946–1964) currently hold more than half of the UK’s wealth1. Many in this generation are financially stable but concerned about ensuring their legacy benefits their children or grandchildren. The key is to start the conversation with family members early. This means taking a proactive approach to financial planning – securing your legacy will bring peace of mind.
Seeking support to plan – how to save time and stress
Generation X (born 1965–1980) is likely to be the first major group to inherit during this wealth shift. Often juggling mortgages, careers and family responsibilities, this generation is time-poor. While wealth transfer might not be top of mind – seeking advice now with retirement, general financial planning and starting conversations with your parents, can save you time and stress later. Advice to simplify your decisions, reduce debt, invest wisely, understand taxes, tune into estate planning and prioritise long-term goals to manage inherited wealth with confidence, will prove beneficial.
Building for the future – how to reach your financial goals
Millennials (1981–1996), while typically owning less wealth than older generations, are increasingly motivated to shape their financial futures. To build confidence and prepare a solid financial plan for the next 30 years (and beyond), it is a good idea to start working with us early, so you’re well-equipped to deal with what’s coming your way.
Plan with purpose
No matter your age or life stage, early planning and informed conversations are your best tools in navigating the great wealth transfer. Seeking advice will help you embrace the future with confidence.
1Vanguard
It is important to take professional advice before making any decision relating to your personal finances. Information within this article is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed. It does not provide individual tailored advice and is for guidance only. Some rules may vary in different parts of the UK.