Any discussions involving money can be uncomfortable and particularly so when it involves the transfer of wealth from one generation to the next. However, the next 30 years are expected to see the largest ever intergenerational passing of wealth, as Baby Boomers pass on assets to their heirs.

Baby Boomers have been the wealthiest generation in history and the so-called ‘Great Wealth Transfer’ is estimated4 to be a colossal £5.5tn, so it could be a good time to start a family discussion.

A taboo subject

Financial matters remain one of the few remaining taboo subjects for many families. How can you start the conversation and avoid it being stilted or awkward? Despite the difficulties, it’s vitally important for parents to involve their offspring in financial planning decisions if the wealth transfer process is to be successful.

Finding a balance

It can be challenging to find the right balance, between a desire to leave a significant inheritance, whilst ensuring your own financial wellbeing is taken care of – the unknown future cost of long-term care is one important consideration here. In addition, although helping your child financially may be important to you, you would probably not want to dampen their own work ethic.

A family discussion

Encouraging your children to become involved in financial planning discussions about family assets is a good way to boost their financial literacy and ensure they are ready when the time comes. We can help you start those conversations by including them in the family’s financial planning, so introduce them to us. 4KC Trust, 2018

It is important to take professional advice before making any decision relating to your personal finances. Information within this page is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed. It does not provide individual tailored investment advice and is for guidance only. Some rules may vary in different parts of the UK.

Tax and Estate planning are not regulated by the Financial Conduct Authority

The value of pensions and investments can fall as well as rise. You may get back less than you invested.

Will writing is not regulated by the Financial Conduct Authority. Quilter Financial Planning Ltd are not responsible for any will writing advice.