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Mikhail Liebenstein

Baby Boomers Intend To Go Skiing

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http://www.telegraph...-on-report.html

So the intention of the babyboomers is clear. Let's spend it all an leave nothing to pass on.

David Bowers, of Absolute Strategy Research, which carried out the survey for Janus Capital, said: "Inter-generational wealth transfer is something we have taken for granted.

"This is one generation when it may not happen as smoothly."

The report said that at present in the UK, the average estate is worth £90,000 and divided five ways, but Janus Capital said that is likely to change, with those aged 45 to 54 unable or unwilling to save sufficiently.

"The financial crisis has exacerbated a tendency to under-save and to be risk averse.

I don't think its the financial crisis, it was the feckless buying of houses at stupid prices and dodgy investment products that give more than 1% to the city each year. Pensions fees should be capped at 0.05%.

Edited by Mikhail Liebenstein

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If most other families are like mine, then anyone under 30 better not expect any inheritance from their parents. The boomer generations attitude is basically we earned it so we will spend it.

It's definitely unwilling to save rather than unable. My mother has no mortgage, no rent yet managed to rack up overdrafts of 1000s and constantly needed bailing out from my grandma. And this is with me and my brother both living away from home, oh and she has a boyfriend to share costs with on top of that.

If my parents won the lottery tommorow I would expect nothing from them, and expect them to quit their jobs then spend the money on cruises until there was nothing left.

There seems to be no pride in improving the circumstances of your offspring in our society- I know my family is typically British.

Yet if I was more successful in future they would probably expect generousity, after all they brought me up. But they are still my parents and I would help them out in future regardless.

Inheritances should be banned.

Neither of my parents received or needed any inheritance in money or preperty from their working-class parents. Their parents, like mine, ensured that they received an education which enabled them to stand on their own two feet without relying on ancestral wealth. I would be disgusted with myself if, having received the benefit of a good upbringing, I were to be reduced to robbing my parents graves like a spoilt middle-class brat. I hope my mother and father will live long enough to spend all that they have earned.

This is a comment from the article. I've never seen this attitude as prevalent in other countries as it is here. It seems to be the attitude of "I didn't receive any inheritance so nor should my children".

Another comment on the article mentioned a good education would be inheritance enough, but sadly in today's age with offshoring and unemployment rife this isn't as good as it used to be.

In my opinion the motivation to pass inheritance to your children should be as strong as the motivation to save/ improve your own life and wealth. Which is why I wouldn't have children unless I could comfortably afford it and be able to pass on an inheritance.

Edited by Saberu

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Some interesting comments on there - I particularly liked this one.

I've watched my parents, who until recently were fit and healthy, become more despondent and impoverished this last two decades as their modest retirement income and small inheritance has diminished due to economic change.

Retirement as a mass concept has only been with us a short time - only the rich have always been able to afford to retire. When the old age pension was originally introduced it provided a couple of years for the working citizen to leave his or her physically exhausting job and rest for a couple of years before their demise. Many didn't make it that far.

It's only in the last forty years that so many have survived for many years beyond pension age. And it's financially unsustainable to work for forty years and save enough in that time to raise a family, buy a house and fund a twenty-five year retirement.

So my generation - the one just behind the fortunate baby-boomers - will at least learn from their mistakes. I have no intention of stopping work until I'm cold and still. And yes, I know that conventional companies can't bear the sight of older people blocking off the sunlight for the young thrusters. So we need to get more savvy about the kind of work we can do - start our own businesses, accept that we'll do work below our capacity, branch out into new things we might not have considered before.

Our mindsets about retirement can change - and given that we are likely to be physically fit enough to work well into our seventies we need to start planning for it in our fifties. I admire the comments on here about macroeconomics and enormous inheritances - but we should be spending as much effort working out what those of us in the middle (am I still allowed to call us all middle class?) are actually going to do in later life.

This pretty well sums up my thoughts.

'Retirement' was a brief phenominum which started in the seventies and has now ended. I expect to go from full-time work to part-time work to illness-enforced inactivity to death. Fortunately I work for myself so I have a little control over the process.

My kids will have been given every opportunity and support that I can give them. That will be their inheritance.

Unfortunately I don't think there will be much money left!

Edited to add;

I have come across several people recently whose life-plan appears to revolve around waiting for their parents to die. What sad-fooks!

I sincerely hope in all these cases that their parents' entire wealth is consumed by nursing home fees!

Edited by Mr Yogi

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Isn't this the egalitarians dream? All wealth recycled and not stored for inheritance?

I mean, they' aren't buring their wealth are they, they're passing it on to other people who are providing goods and services in return.

So the boomers are the most enlightened generation then?

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I don't think its the financial crisis, it was the feckless buying of houses at stupid prices and dodgy investment products that give more than 1% to the city each year. Pensions fees should be capped at 0.05%.

Some ETFs in the US now have annual management fees as low as 0.07%. The UK lags in this regard but the trend toward lower fees is in place. That pensions cost so much is pure theft.

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They may as well go skiing now apparently there will be no snow left in 20 years (according to climate nazis).

I know of one old fella that skied every year until his demise at around 82. He mostly stuck to cruising the blues and reds though and enjoyed long lunches. I intend to do the same if my knees hold up.

The future can worry about itself. We're all going to lose everything to hyperinflation anyway remember?

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If most other families are like mine, then anyone under 30 better not expect any inheritance from their parents. The boomer generations attitude is basically we earned it so we will spend it.

It's definitely unwilling to save rather than unable. My mother has no mortgage, no rent yet managed to rack up overdrafts of 1000s and constantly needed bailing out from my grandma. And this is with me and my brother both living away from home, oh and she has a boyfriend to share costs with on top of that.

If my parents won the lottery tommorow I would expect nothing from them, and expect them to quit their jobs then spend the money on cruises until there was nothing left.

There seems to be no pride in improving the circumstances of your offspring in our society- I know my family is typically British.

It's not remotely typical of any of the 50/60-something parents I know. All of whom are planning to pass on the bulk of their assets to their children and wouldn't dream of blowing the lot on cruises or anything else.

Though they might blow a little bit on things they couldn't afford while they still had kids to feed/clothe/entertain/take on holiday/subsidise through uni.

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Isn't this the egalitarians dream? All wealth recycled and not stored for inheritance?

I mean, they' aren't buring their wealth are they, they're passing it on to other people who are providing goods and services in return.

So the boomers are the most enlightened generation then?

it's a worthy point...

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Isn't this the egalitarians dream? All wealth recycled and not stored for inheritance?

I mean, they' aren't buring their wealth are they, they're passing it on to other people who are providing goods and services in return.

So the boomers are the most enlightened generation then?

No its the antithesis of egalitarianism. Inequality between classes of people and now inequality between generations of the same class.

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No its the antithesis of egalitarianism. Inequality between classes of people and now inequality between generations of the same class.

But if the generations are unequal then they aren't in the same class, which kind of makes them classless. Doesn't it?

Are you arguing that it's a move to egalitarianism if the boomers (or any wealthy class) hoards its wealth and passes it on via inheritance? I see dozens of posts a day arguing precisely the opposite, but you seem to be all for it.

What's your position?

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As far as I can tell from reading the linked article, this was not a survey put only to boomers. No age range is mentioned for the survey, so presumably when they asked "do you expect to hand wealth on to your children" they were asking adults of all ages, including todays debt-soaked graduates.

I don't think you can therefore conclude anything about boomers spending the kids inheritance from this survey. For all we learn from the article, the boomers might have been passionately committed to passing on wealth, and the young poor (quite reasonably) doubtful about their ability to pass on wealth.

(Later, a conclusion is indeed drawn by the survey organisers about the 45-54 demographic, but it is unclear whether and how this is related to the headline statistics.)

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45-54 year olds? That's people in the shadow of the boom, most of whom will find their pensions gone. Especially those of us the wrong side of the latest rule change (i.e. born after April 5th 1960).

Combine vanishing pension expectations with the expectation of serving as BoMD, and it'll be no wonder if few have anything to pass on.

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Isn't this the egalitarians dream? All wealth recycled and not stored for inheritance?

I mean, they' aren't buring their wealth are they, they're passing it on to other people who are providing goods and services in return.

So the boomers are the most enlightened generation then?

:lol:

Good point.

However, the real rich don't do that, unfortunately. They have these family trusts. And even manage to avoid inheritance tax. Think the Duke of Westminster, or, say, the top 100 families.

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Why is anyone surprised?

Kids are in effect expensive, difficult pets -- there is no reason to have a child other than that you want one as a parasitic living toy.

Other than that, kids just cost time and money (as cute as they are!) -- they are not your future anymore and there is no guarantee that they'll look after you in your old age, no matter how much you doted on them. Go take a look -- old folks home are full of abandoned, discarded parents and yes, people know what they did to their own parents, and are not interested in the same remedy being applied to them by their own kids.

Lots of people didn't have kids for those very reason, and so it's not surprising that parents no longer leave an inheritance, they figured they spend enough as is and they are not going to waste their golden years as well.

A family has always been an inter-generational self-perpetuating business model, but now that the individual longer needs children (and finds them a burden) or an inheritance that would motivate offspring to take care of them(since the tax man grabs any wealth that is large enough to be interesting), that deal is off and this is the sad result.

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My grandfather (fathers side) said the old "you cant take it with you" the other day.

Np I thought since he not rich and I my parents don't need anything from him.

Bit surprised to find out that he had inherited two four bed houses during his life and had the easy life liquidating the lot for holidays etc.

Other very rich grandfather (still no money given) said to my mum "don't give anything to those boys there to full of themselves" ironic as his dad gave him a farm, garage and house before he died.

In my family (aside from my parents god bless them) the under 40s are viewed as liabilities.

In my wifes family (north africa) you cannot buy a house anyhow no matter how rich you are unless your given the money (20x earnings now / chicken feed 20 years ago) and their is a shocking pension provision so all the money is handed over and the kids are looked at as an investment. My father in law 65 has given the lot away and lives in a small flat next to his sons and retains shares in their businesses which he gave them.

I assume this is the mentality that my great grandparents had.

Edited by Fromage Frais

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:lol:

Good point.

However, the real rich don't do that, unfortunately. They have these family trusts. And even manage to avoid inheritance tax. Think the Duke of Westminster, or, say, the top 100 families.

Oh yes, I quite agree.

I was only addressing the apparant outrage on this thread that the boomers are not doing this, and pointing out that people seem ready to be furious when other people save their wealth and pass it on and furious when they spend it all and don't pass it on.

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Oh yes, I quite agree.

I was only addressing the apparant outrage on this thread that the boomers are not doing this, and pointing out that people seem ready to be furious when other people save their wealth and pass it on and furious when they spend it all and don't pass it on.

Yes, I had got that. That is why I literally :lol: here.

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Oh yes, I quite agree.

I was only addressing the apparant outrage on this thread that the boomers are not doing this, and pointing out that people seem ready to be furious when other people save their wealth and pass it on and furious when they spend it all and don't pass it on.

It's a nice spin but it's not quite accurate imo. Perhaps people are furious because both the boomers and the uber rich have acquired their wealth by impoverishing others. What they then do with it is immaterial, even if they gave it away to charity people would still have a legitimate reason to be angered.

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It's a nice spin but it's not quite accurate imo. Perhaps people are furious because both the boomers and the uber rich have acquired their wealth by impoverishing others. What they then do with it is immaterial, even if they gave it away to charity people would still have a legitimate reason to be angered.

Then it's just impotent fury and they should just scream at the screen.

Oh, and many people have acquired wealth by providing services to others. It isn't a zero-sum game.

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Then it's just impotent fury and they should just scream at the screen.

Oh, and many people have acquired wealth by providing services to others. It isn't a zero-sum game.

Now, don't push it, bogbrush. The assets prices bubble was an undeserving windfall, benefiting mainly an older generation, mainly to the cost of the younger generation. And this is now a political problem, and as such it will not stop at "screams at the screens", and rightly so.

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Now, don't push it, bogbrush. The assets prices bubble was an undeserving windfall, benefiting mainly an older generation, mainly to the cost of the younger generation. And this is now a political problem, and as such it will not stop at "screams at the screens", and rightly so.

The point is that what they do with the money is irrelevent, so why are people getting uptight about it? A thread about how it got there is relevent, this one isn't.

And I stand by the point that it is wrong to class all acquired wealth as having arisen from impoverisation of others.

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If most other families are like mine, then anyone under 30 better not expect any inheritance from their parents.

The boomer generations attitude is basically we earned it so we will spend it.

It's definitely unwilling to save rather than unable. My mother has no mortgage, no rent yet managed to rack up overdrafts of 1000s and constantly needed bailing out from my grandma. And this is with me and my brother both living away from home, oh and she has a boyfriend to share costs with on top of that.

If my parents won the lottery tommorow I would expect nothing from them, and expect them to quit their jobs then spend the money on cruises until there was nothing left.

There seems to be no pride in improving the circumstances of your offspring in our society- I know my family is typically British.

Yet if I was more successful in future they would probably expect generousity, after all they brought me up. But they are still my parents and I would help them out in future regardless.

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

I would suggest your family is NOT typical.

We have inherited nothing (as expected), father and FIL both in WW2, unable to afford to get on the 'property ladder' as new parents in the 50's.

I 'invested' in private pensions, still trying to convert to an annuity, but I know that we have all been robbed blind by pension companies, whose sole aim appears to have been to keep skimming away annually at any increase in fund value.

If I had my time again I would never consider a private pension.

As a result of my experiences our children have taken the 'property route' to personal pension provision, with the same results as me!

Seems to me that pensions (financial institutions) and property (EA's, banks and building societies) are organised in such a way that the only REAL WINNERS are money shifters, earning a % from any angle, legal or not.

Ordinary folks are merely a pawn to enable those within the money industry to make unbelievable salaries (I still remember the story of a fund manager in the city with 1000's of private investors in his fund, who felt it totally acceptable to pocket well over 50% of the rise in fund value as his salary and bonus's, what was left was divided between all the investors!! What would he have taken in a bad year?).

Common thieves, the lot of them.

When will they get investigated?

Average joe is totally stuffed at present, and us 'grey tops' get blamed for everything, as if we had any involvement in finance!

Still trying to get by (with difficulty) on the interest of our savings, I don't work due to 2 knackered knees, and don't receive and help from the state, too young for me state pension.

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Stop moaning you lot and start earning, that’s what I did and my father before me, I expect my sons to do the same. I can’t believe that you’re moaning about the good fortune of others, don’t like your lot? Change it. And before you start moaning I started with nothing, fought for this country, worked hard paid tax. I earn’t every penny myself. That’s the difference between this generation and mine. :D:D:D

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The point is that what they do with the money is irrelevent, so why are people getting uptight about it? A thread about how it got there is relevent, this one isn't. (...)

It interesting to know.

And I stand by the point that it is wrong to class all acquired wealth as having arisen from impoverisation of others.

Of course it would be wrong to class all acquired wealth as having arisen from impoverisation of others. And I didn't do that.

(...) The assets prices bubble was an undeserving windfall, benefiting mainly an older generation, mainly to the cost of the younger generation. (...)

But if one gets cheaper housing, all the rest becomes much, much easier. Right? Agree?

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Stop moaning you lot and start earning, that’s what I did and my father before me, I expect my sons to do the same. I can’t believe that you’re moaning about the good fortune of others, don’t like your lot? Change it. And before you start moaning I started with nothing, fought for this country, worked hard paid tax. I earn’t every penny myself. That’s the difference between this generation and mine. :D:D:D

Hi newby. Welcome to the forum.

Now, earnt every penny yourself? Really? So you didn't buy a house many, many years ago? Or, if you did, and this house went up in value, did you earn it?? How?? (That new kitchen wot done it? ;) )

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  • 153 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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