Millennials are most likely to use inheritance to top up their pension pots, with their generation likely to benefit from the largest wealth transfer in history.
Millennials – those born between 1980 and 2000 – were likely to receive some $68 trillion in inheritance from the baby boomer generation before them.
According to deVere Group, 71% of millennials globally would use this inheritance to boost their retirement income while other priorities included purchasing property, increasing sustainable investments or committing to good causes.
Nigel Green, deVere chief executive, said millennials were often falsely stereotyped for their sense of entitlement and thought to be more financially reckless than other generations.
“But with seven out of 10 saying that their number one priority of the inheritance boom is to top up their pension pots, this myth is busted,” Green said.
“A windfall from the richest generation in history will be welcomed and needed by millennials – but seemingly not to be wasted. This is very encouraging.”
However, he warned, millennials should avoid relying on an inheritance to solve their financial problems.
“Waiting on a windfall should not be anyone’s plan A – it could come too late and other circumstances could make this a financially dangerous plan,” Green said.
