Wealth Transfer
Australia is approaching a major shift in personal finances. Over the next two decades, approximately $3.5 trillion is expected to be transferred from Australians aged 60 and over to younger generations. Managing this transfer effectively is critical for those aiming to support their families without compromising retirement stability.
Financial Pressure
Many retirees face uncertainty in balancing personal financial needs with the desire to assist their children. While most recognise the increasing financial challenges faced by younger generations, they remain cautious about their own financial outlook in retirement.
According to recent findings:
- Three in five retirees are more concerned about their financial future than they were a decade ago.
- Nearly three in five expect to reduce their standard of living to maintain income through retirement.
- Seven in ten consider being mortgage-free and financially secure as their primary retirement goals.
Despite their intent to help their families, most retirees are reluctant to release funds from the family home or change their current lifestyle. The fear of running out of money—commonly referred to as FORO—continues to drive conservative financial behaviour in retirement.
Advice Value
Financial advice can address these concerns through structured, tailored planning. Professional support enables retirees to evaluate available options, including:
- Gifting assets during their lifetime versus leaving an inheritance.
- Leveraging home equity in a controlled and strategic way.
Comprehensive planning builds confidence and enables retirees to maintain their quality of life while achieving generational support goals. This approach ensures both retirement income and asset preservation are aligned with personal priorities.
Point B Planning works with retirees to create financial strategies that meet personal and family objectives. With experienced advice, retirees can approach wealth transfer with clarity, control, and confidence.
Contact us to discuss a personalised strategy for your retirement and wealth transfer planning.
