Attention kids of Baby Boomers, you shouldn’t be holding out for a large inheritance from your boomer parents, even if they are rich. Less than half of the millionaire boomers say that leaving money for their kids is a priority for them, according to a 2011 U.S. Trust study. But 64% of boomers say they plan to use their money to travel and more than one in three say they want to use it to “have fun.” According to that study Boomers are not getting this idea from their parents, their elders are seven times more likely than boomers to believe they owe their children an inheritance. It is said that boomers are more concerned with leaving behind things like values and keepsakes, according to the Journal of Financial planning. “More often than not clients leave inheritances in trusts,” says John Olivieri, a partner at law firm White and Case, who works with a lot of boomer clients.

Another interesting fact is that Boomers are expected to live longer than any other generation. The problem is with the economy being the way it is, boomers have not saved nearly enough for retirement. Overall, the average retirement savings shortfall for married baby boomers is about
$30,000, this is according to the Employee Benefit Research Institute. The result of this being that their kids will then have to make room for them in their homes and take care of their basic living expenses. Some of the reasons given for not saving money for retirement include having children, 15% say buying a house and 19% who said that household bills were the obstacle. However boomers are a little fuzzy on the financial realities as well. 22% of pre-retirees think their financial situation will be worse in retirement, but roughly one-third of retirees say that it is worse. “There’s a real disconnect because your life pre-retirement is much different than your life post-retirement,” says Hal Hershfield, a professor at NYU who recently conducted a study entitled, Increasing Saving Behavior Through Age-Progressed Renderings of the Future Self. For more money saving tips visit us at Connect Your Home or call (888)566-3979.