With inflation on the rise, a new survey by Wells Fargo Wealth & Investment Management discusses finance and inheritance with Gen Z and Millennials.

Economy and healthcare costs are top concerns for Gen Z and Millennial inheritors, a new survey by Wells Fargo Wealth & Investment Management shows, with many wanting to discuss money more with their family or a financial advisor.

The survey covered more than 550 Gen Z and Millennials aged between 20 to 39 years old, all of whom expect to inherit more than $1 million from their parents.
 
It shows that the biggest threats to inheritances seen by rising generations are economic changes or downturns, cited by 41 per cent, and parents’ healthcare or long-term care costs, cited by 30 per cent.

The same survey shows that 81 per cent of respondents would find it valuable to have regular family meetings with parents to discuss family finances. Almost three-quarters of them said that talking about inheritance would help them plan better for the future. But just over half of them worry that talking about money would make it seem as though they just want their parents’ money.

The survey also shows that only one in three rising generation inheritors work with a financial advisor, although an additional 40 per cent would like to do so. Less than one-third of those surveyed have a written plan that specifies their financial goals and how they aim to achieve them, whilst only 28 per cent have a will or estate plan of their own.  

“With economic concerns and rising inflation, the next generation is looking for help setting goals and putting together a plan to meet them,” Michael Liersch, who heads up Wells Fargo’s advice and planning centre, said in San Francisco. “This survey tells us an overwhelming majority (90 per cent) of inheritors believe advisors have useful insights. It is more important than ever that we help them meet their financial goals and get the most out of their money – whether inherited or earned,” he added. “These numbers show the next generation of inheritors want valuable advice from advisors they trust,” he said.
 
Liersch will be discussing several survey topics, amongst other matters, on season three of his “About Money” podcast due to be released this June. 

The online survey by Versta Research, which was conducted from January 3 to 24, 2022, aimed to discover Gen Z and Millennials' thoughts on various areas, including how often they talk about money with family, how the economic outlook and other factors may affect inheritance, and how they view financial advisors. 

Wells Fargo Wealth & Investment Management is a division within Wells Fargo & Company. It provides financial products and services through various bank and brokerage affiliates of Wells Fargo & Company and it is one of the largest wealth managers in the US, with more than $2 trillion in client assets.