I read a recent “LA Times” article and the message hit home. My parents have been telling my sisters and me for years now that we are receiving our inheritance when we need it most … now, for expenses such as our education, purchasing our first homes and our weddings. Apparently my parents are not alone.
The LA Times article discussed the results from a U.S. Trust survey of millionaire baby boomers (those roughly aged 47 – 65). The survey revealed that a growing number of baby boomers are choosing not to leave their assets to their children. According to the survey, only 49% of the millionaire baby boomers questioned responded that it was important to leave their money to their kids when they die. Further, the survey found that 25% of baby boomers worry that their children receiving an inheritance will become lazy and 20% worry that their kids would waste the inheritance.
Instead, many baby boomers feel similar to my parents, in that, they have already provided for their children the equivalent to an inheritance during their lifetime. Additionally, many baby boomers are spending and plan to spend their assets during their lifetimes – traveling, dining out, updating their homes, otherwise enjoying their retirement, supporting elderly parents, and paying for their own medical expenses resulting from longer life expectancies.
My sisters and I have never argued or questioned the assertion of our parents; and why would we? Throughout our lives, we have been the beneficiaries of much generosity. Even more importantly, their money and wealth is just that – THEIRS.
