04.28.24
A Wealth Shift That Could Leave Some Younger Americans Behind
by: Martha White
Baby boomers have trillions of dollars in wealth that some economists predict will have a significant impact on their millennial-aged children when they inherit the assets. But experts say that the narrative of millennials’ paying off debts and wielding greater spending power is complex, betraying a generational divide. Boomers say their children live beyond their means. Millennials say their parents don’t have a clue how expensive it is to raise a family today. Financial advisors who work with both, meanwhile, say they see a widespread lack of transparency between the two. Even in families that have been able to accumulate some wealth, research suggests that millennials might be overconfident when it comes to expectations about how much they’ll inherit. A survey conducted two years ago by Alliant Credit Union found that just over half of millennials who anticipated inheriting money expected that they would get at least $350,000. However, 55% of boomers who say they plan to bequeath assets to their children or other younger family members say the amount will be less than $250,000.
Read the full article on The New York Times