Just 41 per cent of Canadians have had discussions with loved ones about their end-of-life wishes and only half of those who are married have discussed their own wishes and know their spouse\u2019s or family\u2019s wishes. (Credit: PNG Merlin Archive) <\/p>\n
Canadians are in the midst of a $1-trillion wealth transfer between generations, but most still aren\u2019t prepared for it.<\/p>\n
A bit more than half of Canadians have a will, but that number shrinks to 10 per cent of gen-Zers and 29 per cent of millennials, according to a new report by Willful.<\/p>\n
\u201cThe assumption that planning is only for \u2018later in life\u2019 is leaving younger generations exposed, even as they juggle mortgages, children, and debt without safeguards in place,\u201d the report said.<\/p>\n
Just 41 per cent of Canadians have had discussions with loved ones about their end-of-life wishes and only half of those who are married have discussed their own wishes and know their spouse\u2019s or family\u2019s wishes.<\/p>\n
Overall, 24 per cent don\u2019t have any documentation regarding their end-of-life wishes.<\/p>\n
The \u201cgreat wealth transfer\u201d refers to the money being passed down to younger generations from the baby boomer generation. Estimates show it could be worth between $1 trillion and $2 trillion within the next 10 to 20 years.<\/p>\n
Many younger Canadians may be expecting a sizable payday from this inheritance, but it might be worth tempering expectations.<\/p>\n
For one thing, there are sizable tax considerations<\/a> that may reduce the size of the inheritance, while the rising cost of living may deplete the savings that older Canadians have amassed, thus reducing the amount that may be passed down, according to a report by Vanguard Canada<\/a>.<\/p>\n The lack of preparedness has leaked over to financial advisers as well, with 46 per cent of Canadians saying their adviser has never discussed end-of-life planning with them.<\/p>\n \u201cThis increases to 65 per cent for gen Z, leaving many younger clients underadvised and signalling a mismatch between client expectations and the support being provided,\u201d the report said.<\/p>\n Some are noticing this lack of preparedness among investors, with 40 per cent of advisers saying they lost assets after a death because the client decided to switch firms.<\/p>\n \u201cThe research underscores a clear need for change: Canadians are underprepared, families are leaving conversations unfinished, and advisers face real retention risks without stronger intergenerational engagement,\u201d the report said.<\/p>\n \u00a0Sign up here<\/a> to get Posthaste delivered straight to your inbox.<\/p>\n Last week\u2019s mega deal between Anglo American PLC and Teck Resources Ltd. sent shockwaves through the mining industry.<\/p>\n Anglo\u2019s acquisition of Teck, valued at about US$60 billion, would create one of the world\u2019s largest mining companies, though it still requires regulatory approval from several countries, including Canada.<\/p>\n The move caught many peers flatfooted with some of the biggest firms wondering how much room there is to grow when it comes to mergers and acquisitions.<\/p>\n Read more here.\u00a0<\/a><\/p>\n Today\u2019s data: Wholesale trade for July, existing home sale and MLS home price index for August, now motor vehicle sales for July<\/p>\n Today\u2019s earnings: Dave & Buster\u2019s Entertainment Inc., Toro Corp.<\/p>\n Canadians starting a side business as a means of writing off some personal expenses as business expenses need to be careful, as losses may be denied if the business isn\u2019t run in a sufficiently commercial way. Recently, a taxpayer was denied 2019 and 2020 business losses on an Amway business, but the amount of work the taxpayer described should have drummed more sales than they claimed, leading a judge to believe that some or most of the expenses were for personal use. Read more here.\u00a0<\/a><\/p>\n Are you worried about having enough for retirement? Do you need to adjust your portfolio? Are you starting out or making a change and wondering how to build wealth? Are you trying to make ends meet? Drop us a line at wealth@postmedia.com<\/a> with your contact info and the gist of your problem and we\u2019ll find some experts to help you out while writing a Family Finance story about it (we\u2019ll keep your name out of it, of course).<\/p>\n Want to learn more about mortgages? Mortgage strategist Robert McLister\u2019s Financial Post column <\/a>can help navigate the complex sector, from the latest trends to financing opportunities you won\u2019t want to miss. Plus, check out his mortgage rate page<\/a> for Canada\u2019s lowest national mortgage rates, updated daily.<\/p>\n Visit the Financial Post\u2019s YouTube channel<\/a> for interviews with Canada\u2019s leading experts in business, economics, housing, the energy sector and more.<\/p>\n Today\u2019s Posthaste was written by Ben Cousins<\/a>\u00a0with additional reporting from Financial Post staff, Canadian Press and Bloomberg.<\/p>\n Have a story idea, pitch, embargoed report or a suggestion for this newsletter? Email us at posthaste@postmedia.com<\/a>.<\/p>\n Bookmark our website and support our journalism: Don\u2019t miss the business news you need to know \u2014 add\u00a0financialpost.com<\/a>\u00a0to your bookmarks and sign up for our newsletters here<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Just 41 per cent of Canadians have had discussions with loved ones about their end-of-life wishes and only…\n","protected":false},"author":2,"featured_media":160091,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[39],"tags":[28,9567,147,530,6580],"class_list":{"0":"post-160090","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-personal-finance","8":"tag-business","9":"tag-canadians","10":"tag-personal-finance","11":"tag-personalfinance","12":"tag-wealth-transfer"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/160090","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=160090"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/160090\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/160091"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=160090"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=160090"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=160090"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}<\/a>
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