Millennials are inheriting billions and they want to know what to do with it

Much attention has focused on the more than 4 million baby boomers turning 65 each year, often referred to as “Peak 65.” Today, as many Americans are turning 35 as are turning 65, marking “Peak 35.”

Millennials are emerging as the next financial phenomenon — already shaping the economy through entrepreneurship, professional success, strategic real estate acquisitions, and willingness to consider alternative investments. Many have built wealth at a younger age than previous generations, while others face financial pressures like student debt and wage stagnation.

These millennials are a driving force in the American economy as the largest generation in the workforce. As they transition from early career earnings to wealth building, many are also poised to inherit assets from their baby boomer parents.

A new study by Equitable, “PEAK 35TM: Guiding a New Generation of Wealth,  explores how millennials are both building and inheriting wealth.

The study reveals that nearly seven in 10 millennials expect or are fairly confident they will inherit assets from their families. They anticipate receiving a range of wealth, including cash (71%), personal valuables such as jewelry (51%), real estate assets (46%), and transfer of financial assets like stocks, bonds and retirement accounts (41%).

Nearly eight in 10 millennials feel confident making smart financial decisions today; that confidence drops sharply to just 27% when their financial situation becomes more complex. As millennials prepare to inherit cash, real estate, investments and businesses from their aging parents, this shift in assets presents an opportunity for advisors to offer expert guidance and holistic financial planning.

“I was surprised at how confident millennials are with their finances,” said Michelle Felendes, a financial advisor with Equitable Advisors. “Of course, that confidence drops when things get tricky. For example, when their parents pass away and there is a transfer of wealth.”

Navigating personal financial planning landscapes, including tax laws, while raising children and dealing with your parents can be complicated, Felendes noted. “It’s not just the numbers; it’s the human side of life.”

Female millennials are a growing financial influence

Millennial women are another critical demographic in today’s financial landscape, with growing influence over personal and family wealth. Their financial circumstances are increasingly complex as they balance career advancement, caregiving responsibilities and potential wealth transfer considerations.

More millennial women are advancing in their careers, with higher education and larger incomes positioning them to take control of their financial futures. Fifty-one percent of millennial women report that they are the primary breadwinners in their families — surpassing both Gen X (39%) and baby boomer women (37%) in this role.

Single women are outpacing men in home ownership, highlighting their financial independence and need for long-term planning.

Despite millennial women’s growing economic power, there is a gender divide in confidence managing their finances today, the study found.

Eighty-five percent of men feel confident in their ability to make smart financial decisions today versus just 71% of women. The study reveals that having a financial advisor, however, increases confidence levels among millennial women to 84%.

When it comes to finances and investments, Felendes said many women historically relegate that to their male counterparts, but she is seeing many millennial women taking more of an active role.

Digital natives are looking for human advice

As the first digital-native generation, millennials embrace technology, social media and mobile finance. While digital finance tools provide convenience, millennials seek personalized financial guidance as they build and inherit wealth.

Importantly, nearly seven in 10 millennials (68%) would prioritize working with a financial advisor over a solely digital experience. The study shows that 27% of millennials prefer working just with a financial advisor, while 41% favor a hybrid approach that balances technology and tailored advice.

“Having an advisor can help people reach their goals. I always tell my clients, ‘My goal is to help make your life easier.’ There is a lot of information out there but how do you take that information and execute on it,” Felendes said.

The study reveals that 68% of millennials have already discussed future inheritance planning with their parents, and two-thirds of those families work with a financial advisor — underscoring that financial planning often begins at home.

That influence runs deep: 87% of millennials say their family’s relationship with a financial advisor is a key factor in deciding whether to continue working with that advisor themselves. Four in 10 millennials, however, would switch financial advisors if they do not feel seen or supported, or if the advisor lacks experience with clients in a similar situation.

Felendes recommends that millennials meet with a financial professional with their parents. This can give clarity on their own planning because she says, “You don’t know what you don’t know.”

The current shift in wealth is more than a financial decision for most millennials — it’s emotional and cultural. The study revealed that an overwhelming 93% of millennials believe it’s important for their financial advisor to align with their personal values and goals. Moreover, nearly three-quarters of those already working with a financial advisor plan to seek one who specializes in inheritance and wealth transfer.

Equitable’s “PEAK 35TM: Guiding a New Generation of Wealth” study was conducted by an independent, global survey panel provider. The survey included 500 U.S. adults born between 1981 and 1996 and was fielded online between June 26 and July 7, 2025.

The post Millennials are inheriting billions and they want to know what to do with it appeared first on Insurance News | InsuranceNewsNet.