Published on: 16th September 2016

Millions of Brits are relying on inheritance windfalls

Recent studies show that millions of British people are banking on their inheritance to give them financial security, with this money windfall often playing a major part in their retirement plans.

A third of working Brits say that they are relying on their inheritance for future stability, with a fifth saying they won't be able to retire comfortably without it. The same study also states that paying off mortgages and clearing other outstanding debts are the most common plans for using an inheritance.

But those who are relying on their inheritance might be in for a shock, as the amount of people leaving great amounts to their younger generation is decreasing. Over a quarter (28%) of people retiring don't expect to leave much to their children; a fifth say they intend to enjoy their money and spend it during their retirement. 4% also say they will leave it to a charity.

Many people admit that they would not be prepared for retirement without the help of an inheritance, with a quarter saying that they will have to work for longer than they had planned if they don't receive it.

With the increase in life expectancy, people are having longer retirements than they have expected or planned for, and are therefore using more money. It's so important to plan ahead to ensure you are prepared later in life - we encourage people coming up to retirement to get professional advice on how to best plan for their future.

We provide estate planning services, click here for more information.

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