Most grey nomads don't feel guilty for spending their own money.
Grey nomads are often referred to as the SKI generation … as in Spending the Kids’ Inheritance … but it seems that doesn’t stop many young people having unrealistic expectations about what money they will eventually come into.
Indeed, a survey just conducted by UK wealth management company, Charles Stanley, suggests that many are downright deluded.
The research found that young people expected to receive nearly $240,000 while in actual fact the median average amount handed down was only $21,000. And, even more delusionally, one in seven young adults expect to inherit money before they are 35, although in reality the typical inheritance age is between 55 and 64.
John Porteous from Charles Stanley said that people were tending to live longer than ever, so any children or grandchildren making life choices based on the assumption of a hefty inheritance were following a dangerous strategy.
A couple of years ago, the National Seniors Australia Organisation surveyed 5770 of its members about their retirement income and plans, and found many were opting to spend their cash on travel or keep for their future aged care needs.
“They know they might live longer and they are planning for that longer life financially, for their health and medical costs and also for lifestyle and travel,” Karen Rees, a research fellow for the group, said at the time. “One of the major comments to me was ‘we don’t have a crystal ball’ … it’s an unknown and people are doing the best they can.”
Only 3% of those surveyed planned to preserve all their savings for the next generation. Some 10% expected to spend all of their savings in their retirement, 41% wanted to spend most of their savings, and 46% intended to spend only some.
My last cheque will be to the Undertaker … and will bounce
Interesting topic. I’ve seen many articles about ‘elder abuse’ which dovetails into this same genre. It is unfortunately these days that many, not all, but certainly too many ‘young’ people view their parents as their meal ticket. I fully support helping my children and they are actually more keen to see us travel and enjoy ourselves. I see many people our age being lumbered with baby sitting duties because it is expected while their travel plans are shelved. My advice to any potential grey nomad is to get our there, enjoy travelling. The kids and grandkids will cope. We did. :):)
Travel safe. Peta
Totally agree
No kids! No problem! We can spend the lot and we will, guilt free!
“Ditto”
We are very fortunate in as much as our kids do not expect any inheritance as they rightfully understand that in our working life superannuation was not a huge factor in retirement savings. They have also made the observation that they are earning and are in far better financial situation at this time in their lives than we were. In fact they are the ones that are urging us to enjoy our later years and to spend and not worry about their future, as they say they are financially secure. There is also the appreciation of during their formative years we supported them and assisted where possible to allow them to get to the stage where they have got today. So for us it is be sensible but do not allow restrictions like what are we going to leave the kids, whatever is left they will be happy and know that we have had a full and enjoyable life.
It annoys me when using the phrase, spending the kids inheritance. While you are alive it is not theirs. It is YOURS to use as you see fit. It is only their inheritance when you are dead.
We only get one go at this dance floor so grab your partner and go for it.
The kids can look after themselves and remember you’re a long time dead
I think discussing this subject in the media entrenches the idea that kids are deserved of parents inheritance. Inheritances were once for the rich as most people were dirt poor, Now days adult kids have so much more to retire on as they have Super whilst many of us didn’t, running small businesses. What’s becoming evident now is “ early inheritance syndrome” where they want it before you die by expecting an early handout factoring your money in their Spreadsheet so they can retire a bit earlier, Research is showing that sons more so, have their handout to their mothers and it’s becoming epidemic. I suggest we stop discussing our inheritance as a right to our children.
We made a very big mistake in discussing our Will with out adult children (blended family) where we said some of our money would go to Charity of our choice. The richest double income son with no children took umbrage and spread it that we were leaving him nothing, Guess what! We are minus one kid now who was helped to make his own way by his Dad through a good share portfolio
. Enough is never enough. Spend every penny I say.
I was told once by a fellow traveller that they were past SKI and were now onto KING – “Kids it’s nearly GONE”
Spending the kids inheritance…. really!!!!!!!!!
We have worked for 50 years plus my kids have worked for 10 years on the average. Do i not deserve something for ourselves BLOODY OATH.
We are going to spend the lot on US and enjoy what time and money we have left. We started with Nothing our kids have had a tough love upbringing as all kids should NOT spoiled brats that will get things given to them on a plate on our death …..bugger off.
We worked for what we have so should everyone and expect NOTHING
I tell our son the only thing he is goig to get is the bills! His reply dont worry dad i am just going to write on the envelope return to sender address unknown.
Haha