July 29, 2025

Wealth Transfer—How Families Can Prepare the Next Generation

There’s a huge financial story quietly taking shape: “The Great Wealth Transfer.” In the next twenty years, more than $100 trillion will move from Baby Boomers and older generations to their children and grandchildren. But transferring wealth is about much more than handing over assets—it’s about helping the next generation manage, protect, and grow a family legacy.

With so much on the line, families and advisors are looking for ways to help heirs navigate this once-in-a-lifetime transition. Here are some of the ways people are making it work.

Start Talking, Early and Often

First and foremost, experts agree open and honest conversations matter most. Many families are now setting aside time to talk about their values, the stories behind their wealth, and their hopes for the future. These aren’t stiff business meetings—they’re often warm, heartfelt conversations, filled with laughter, tough questions, and the occasional tear. The goal? To help kids and grandkids understand not just what they might inherit, but why that legacy is important.

Teach Them—It’s More Than Just Money

Research from financial advisors shows that, without preparation, up to 90% of family wealth disappears by the third generation. Families who avoid this fate make education a priority—teaching kids about money management in their teens, letting them try out budgeting, make small investments, or even help choose which charities to support. The message is clear: it’s about stewardship, not entitlement.

Planning for the Unexpected

Of course, talking is just the beginning—action matters too. Many families are teaming up with professionals to set up trusts, update wills, and create clear succession plans. With tax laws changing in 2026, a lot of people are taking steps now to make the most of current exemptions and avoid extra taxes down the road. No matter your family’s wealth, experts say: don’t put this off.

Making Wealth About Purpose and Giving Back

Increasingly, younger heirs want their inheritance to be about more than just numbers. Many families are inviting the next generation to help shape how they give back—maybe by running a family foundation, volunteering together, or deciding where donations should go. Getting everyone involved in these choices helps build stronger communication, trust, and a shared sense of purpose.

Practice Makes Perfect

Nothing beats real-life experience. Some families start heirs off with small financial responsibilities, slowly giving them more as they gain confidence. Others connect them with trusted advisors for mentoring. No matter the approach, the goal is the same: when the time comes for a big inheritance, the next generation is prepared and self-assured.

In Summary

Getting the next generation ready is about much more than money—it’s about relationships, values, and leaving a lasting mark. Think about starting a conversation with your loved ones about what truly matters to you.

Disclaimer:
Remember, this report is for informational purposes only and not intended as specific financial, legal, or tax advice. If you’re considering estate planning or wealth transfer, consult a qualified professional.

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Wealth Transfer—How Families Can Prepare the Next Generation

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