From Generation to Generation

From Generation to Generation - About 25 years ago we mentioned that the Baby Boomer generation was set to inherit about $16 trillion from their parents, the Greatest Generation. Most of this generational passing of assets has been completed and now the talk turns to the Baby Boomer generation itself and the wealth they might pass along to their children. By some estimates it is going be somewhere between $30 and $60 trillion dollars. WOW! Amazing wealth growth in only one generation. But, the Generation X and Y children and some older millennials might be disappointed by what their parents spend before the money is passed down. First, the Baby Boomer will live longer than their own parents. With better health and longevity, they will spend more on travel and leisure. Don’t forget they were labeled the “Me” generation for a reason. Many feel they owe it to themselves after spending so much money on the children. However, another factor to consider is the need for more money for healthcare. In short, the next couple of generations may not inherit as much as they think.