Millennials aren’t enthusiastic about estate planning

On Behalf of | May 2, 2024 | Estate Planning |

According to a study of 15,000 millennials, roughly 60% stated that they don’t have a will or trust. These documents can be used to determine who gets a Massachusetts home or other assets after you pass away. It’s recommended that everyone create an estate plan upon reaching adulthood regardless of their economic or marital status.

Many don’t think they’ll get an inheritance

It is believed that $72.6 trillion will be transferred to millennials from their parents and grandparents in an event that is being called the Great Wealth Transfer. Despite this, the survey found that only 43% of respondents think that they will receive an inheritance from parents or other family members. However, only half of those respondents said that they have any type of strategy for using it.

Respondents seem more interested in giving

The survey found that 54% of respondents include charitable giving in their budgets, which was a 10% increase from 2023. In addition, many respondents said that they wanted to pass wealth to future generations, and that giving to their children was the primary reason to create an estate plan. However, many also acknowledged that caring for their parents and children at the same time was making it harder to leave a financial legacy.

A lack of communication

Roughly one-third of millennials have yet to talk to their parents about their estate plans. However, many in that age group have said that they have talked about estate planning with older family members and don’t have an issue talking about the topic in general.

In addition to a will or trust, you may also consider adding a financial or medical agent to your estate plan. Doing so may make it easier to manage your affairs if you’re incapacitated or would rather let someone else do so for any other reason. Ideally, you will review your plan on an annual basis or after a major life event to ensure that it still meets your needs.