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- About a third of children also said they would be happy for their parents to do so.
A third of 60-year-olds would rather spend their savings enjoying later life than leave an inheritance to their children, a survey has found.
Among people ages 50 to 59, 31 percent favored spending rather than leaving an inheritance, a figure that rose to 33 percent among people ages 60 to 69, a research company shows. SunLife life insurance.
Among those over 70, 29 percent said the same.
Making the most of retirement: While a third of people in their 60s plan to spend their money, a similar share of younger people say they would like their parents to do the same
A larger number said they would like to leave an inheritance to their family: 50 percent of people over 70, 40 percent of people 50 to 59, and 43 percent of people 60 to 59. 69 years old.
However, only 12 percent of all three age groups said they would be willing to cut their retirement spending to leave money for loved ones.
SunLife also asked children if they would be happy for their parents to spend their savings in retirement, rather than leaving money to them.
A third (33 per cent) of people said they would prefer their parents to spend their potential inheritance rather than keep it for themselves and the rest of their family.
Younger generations were less likely to approve of the idea than their older counterparts: Only 27 percent of 18- to 24-year-olds said they would rather watch their parents spend than pass the money on to them.
That figure rose to 31 percent of people ages 25 to 34, and 38 percent of people ages 45 to 54. About 39 percent of those over 65 said they would prefer their parents spend the money.
Mark Screeton, chief executive of SunLife, said: “Our data shows that, amid the pressures of the high cost of living, the issue of inheritance is quite divisive.
About 43 percent of people over 50 would like to leave money behind – and 12 percent would sacrifice their own retirement to do so – but a third of those they scrimp for say they would prefer their parents to spend their money enjoying retirement. .’
It appears that those approaching retirement are the most interested in receiving some extra money from their parents: 43 percent of those over 65 say they would like to receive an inheritance, but are not dependent on it .
This compares to only 22 percent of those aged 55 to 64, 26 percent of those aged 25 to 54, and 27 percent of those aged under 25.
Early inheritances are on the rise
About 21 percent of parents, about 5.4 million people, said they would prefer to give an inheritance early so they can see their family benefit from the money, rather than leaving it in their estate when they die.
Up to 25 percent of those over 50, 6.5 million people, have already made “significant” cash gifts to their family in the last five years, and 36 percent of people over 70 have done so. have done.
While some of these gifts were made for specific reasons, such as house deposits, help paying off debt, and money for a car, 17 percent of people who gave a gift said it was simply an “early inheritance” to spend as they would like .