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Trust & Will's Fourth Annual Millennial Study Examines How Millennials are Estate Planning Through the Pressure of their Current LivesFrom Current Financial Strains to Possible Future Gains via the 'Great Wealth Transfer,' the Millennial Generation is Underprepared for the Future SAN DIEGO, April 9, 2024 /PRNewswire/ -- Trust & Will, the leading digital estate planning and settlement platform in the U.S., releases the findings of its fourth annual Millennial Estate Planning Study, providing insight from nearly 15,000 Millennials on end-of-life and estate planning preferences. Amidst a tornado of economic pressures, including sky-high mortgage rates impacting home ownership goals, caring for both children and aging parents, macroeconomic uncertainty, and promises of a forthcoming 'Great Wealth Transfer,' millennials are planning for both their current and future lives, but also remain concerned about their ability to build and pass on wealth to future generations. More than half of Millennials do not know what would happen to their assets if they died without an estate plan. During the most demanding years of their lives, the study found that millennials prioritize work and caregiving but deprioritize the simple actions necessary to protect their assets and legacy in the future. Key findings from Trust & Will's 2024 Annual Study, "Planning Through the Pressure: The Millennial Approach to Estate Planning," include:
Millennials May - or May Not - Inherit Trillions During the 'Great Wealth Transfer' More than a quarter of Millennials (34%) still need to learn what their parents' estate plans are and if they exist. Despite not knowing their parents' specific plans, 58% of millennials disclosed that they had discussed estate planning with older generations in their family at some point, including when they were growing up. An outlier in this year's research indicates there is an uptick in estate planning with younger generations: 33% of Gen Z already have an estate plan, catching up with older cohorts. Despite the rapid adoption of AI, it has yet to enter the estate planning arena. When asked if they would use artificial intelligence, such as a chatbot similar to ChatGPT, to help them write a Will, perhaps unsurprisingly, the answers aligned with age: about one in three Gen Z and millennials said they were likely to use the assistance of AI, compared to only 19% of boomers. Millennials are Both 'Frozen' and 'Sandwiched' While being locked out of homeownership, millennials simultaneously make up the largest share of the so-called "sandwich generation," a cohort taking care of both their children and their parents: 39% of those surveyed say they have had to take on this double duty. 58% say that being part of the "sandwich generation" will affect their ability to pass on wealth. This squeeze is unfortunate because millennials want to pass on their wealth: 74% say it is important to them to do so. Previous research has consistently shown that having kids is the main reason Millennials create estate plans. In 2023, 73% of Trust & Will's millennial members had children. "There is no simple story to tell regarding the unique financial situation of millennials. They want to set themselves up for success, advance in their careers, and have work-life balance, but our generation as a whole has faced significant headwinds our entire adult lives, starting with the 2008 recession, through the pandemic, and its aftermath. The headlines tell us that a 'Great Wealth Transfer' and inheritance is coming, but most families are still not planning for their future and having these important conversations," said Cody Barbo, Founder and CEO of Trust & Will. "The squeeze they feel from nearly every aspect of their life has them putting off the simple planning that would codify their legacy and protect their family's future. The sooner Millennials - and their parents - normalize talking about end-of-life plans, the easier it will be when the time comes." Millennials Want Their Lives to Have a Meaningful End Many members also request specific songs for their end-of-life commemorations; the most popular funeral song requests are "What a Wonderful World" by Louis Armstrong; "Somewhere Over the Rainbow" by Israel Kamakawiwo'ole; and "Let it Be" by The Beatles. Millennials are more likely to donate to charity, even if their net worth is relatively low. A recent Vanguard Charitable Harris Poll showed that 54% of millennials include charitable contributions in their annual budget, a 10% increase over the previous year. Millennials also designate significant sums to charity in their estate plans. The average bequest is $37,519, and the top five charities named by Trust & Will members in 2023 were St. Jude Children's Research Hospital, Best Friends Animal Society, The Nature Conservancy, American Society for the Prevention of Cruelty for Animals (ASPCA), and Tunnel to Towers Foundation. For the full findings and to download a copy of the report, visit http://trustandwill.com/study. Methodology ABOUT TRUST & WILL Trust & Will is an online service providing legal forms and information. Trust & Will is not a law firm and does not provide legal advice. View original content to download multimedia:https://www.prnewswire.com/news-releases/trust--wills-fourth-annual-millennial-study-examines-how-millennials-are-estate-planning-through-the-pressure-of-their-current-lives-302111007.html SOURCE Trust & Will |