What If Your Ship Isn’t Coming In After All?

According to USA Today, many young people in Generation Z, those ages 13 to 22, will be sorely disappointed when the inheritance they are expecting doesn’t materialize.

A recent TD Ameritrade study reported in the newspaper found that nearly 40% of Generation Z expect to receive an inheritance, and “as a result, they don’t believe that they will need to save for retirement.”

Unfortunately for them, the survey sponsors warn “the odds are slim that young adults will inherit wealth because their parents face a less secure retirement world, with stock market turmoil and mounting health care costs.”  Only 16% of parents surveyed by TD Ameritrade said that they expect to provide an inheritance to their children.

While years ago there might have been something left for an inheritance, today’s retirement reality makes that more difficult. Most retirees have no pension, and have to spend down their savings to pay for their retirement years.  Many doubt that Social Security and Medicare will be healthy enough to provide for them.

The Takeaway: The best inheritance you can give your kids is to teach them to be responsible for their own financial future. Help them develop the life skills needed to be self-supporting adults, and set a good example for them by planning and saving for yourself whatever your inheritance expectations.


About Mari Adam

Mari Adam, Certified Financial Planner™ has been helping individuals and families chart their financial futures for over twenty-five years. Have a question about your financial situation? Ask Mari!


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