The Great Wealth Transfer: How to Prepare Your Beneficiaries in Massachusetts

The Great Wealth Transfer: How to Prepare Your Beneficiaries in Massachusetts

Millennials are expected to inherit a whopping $68 trillion by 2030, which many are referring to as the “Great Wealth Transfer.” Suddenly, these young generations will be in possession of not only sizable fortunes, but also the “keys to the kingdom,” so to speak. Millennials will also inherit some of the most important jobs in society, rising up the ranks in various careers as baby boomers suddenly leave their posts. The question is, what will millennials actually do with this opportunity?

If you are wary about leaving your millennial beneficiaries large sums of money, you are not alone. Many other baby boomers feel exactly the same way, and it is an understandable concern. Statistics show that many people who receive inheritance money squander it in a matter of months or even days. So how can you ensure that your hard-earned wealth stays within the family? Can you dare to believe that your wealth will actually grow over the next few generations?

If you are looking for answers and solutions, your best bet is to get in touch with an experienced estate planning attorney in Massachusetts. Our legal professionals can present you with a number of options for ensuring the longevity of your family estate.

The Great Wealth Transfer Explained
Because Baby Boomers represent a massive portion of the population, their withdrawal from the workforce (and unfortunately, the world itself) will have a tremendous impact on the financial makeup of the planet. By 2030, millennials will have five times the wealth they have today, and this is mostly due to inheritance.

Tax Concerns
One of the first issues you need to consider involves taxes. By exploring your estate planning options, you can minimize the tax burden for your millennial beneficiaries, ensuring that more wealth stays within the family.

The Main Issue
The main issue is that the vast majority of millennials have no idea how to manage money. In fact, most are highly reluctant to invest in stocks, and a significant portion does not have enough cash to handle a $400 emergency. This means that investing and financial planning are foreign concepts to many millennials.

The Statistics are Not Encouraging
When you examine what happens to inheritance money in the United States, the statistics are worrying to say the least. According to one study, approximately half of all inheritance money is spent or lost very quickly. That’s half of everything you earned during your lifetime, gone in a matter of months.

Something to Consider
Statistics also show that most millionaires are self-made. That is to say, they did not inherit their wealth. If you want to encourage your millennials to succeed, it might be worth putting certain conditions on their inheritance money, thereby encouraging them to encounter real struggles, figure out solutions, and become successful on their own terms. A trust is the best way to do this, as your wealth can be closely managed by a trustee and distributed only in certain situations.

Enlist the Help of a Qualified Attorney Today
If you have been searching for a qualified, experienced estate planning attorney, look no further than the Law Offices of Johnson, Sclafani & Moriarty. Over the years, we have helped numerous individuals plan for their future in an effective, confident manner. We know that handing over your hard-earned wealth to millennials is not always the most reassuring notion, but there are a number of things you can do to make this process easier. Book your consultation today, and we can help you go through all of your options. 413-732-8356