The Great Wealth Transfer Is Here: Why Estate Planning Has Never Been More Important

We are in the middle of the largest generational wealth transfer in history. According to a 2022 report from Cerulli Associates, over the next 20 years, an estimated $84 trillion of wealth will pass down to younger generations. Despite the scale of this shift, many families remain unprepared.

Estate planning is not only for the ultra-wealthy. It’s for anyone who wants to ensure their wishes are honored, their family is taken care of, and their legacy lives on.

A Historic Transfer of Wealth

According to Cerulli Associates’ report, roughly $53 trillion of the wealth transfer will come from the Baby Boomer generation, representing 63% of all transfers. Much of this wealth is held in homes, retirement accounts, small businesses, and family trusts.

Without clear estate plans, these assets may not end up where they’re intended. 

As Steve Randall noted in InvestmentNews, “Older generations are also not confident that Gen Z are able to manage the wealth transfer” (“Is Gen Z ready for the multi-trillion-dollar wealth transfer?”, April 15, 2025). Estate planning serves as the bridge between the wealth you’ve built and the future you envision for the next generation. It’s not just about transferring assets—it’s about preparing heirs to receive them.

The Cost of No Plan

Failure to plan may lead to family conflict, court battles, and unexpected tax burdens. A 2023 Caring.com survey found that only 34% of Americans have a will—and fewer have a comprehensive estate plan.

Common consequences of poor or outdated planning include:

• Assets tied up in probate for months or years.

• Unintended beneficiaries receiving assets due to outdated documents.

• Estate taxes reducing inheritances.

• Heirs losing government benefits due to poorly structured inheritances.

• Family businesses collapsing without succession plans.
  

  

  How to Get Started with Estate Planning
  

  Estate planning is one of the most important steps you can take to protect your legacy and provide clarity for your loved ones. It doesn’t have to be overwhelming—start with these five key actions:
  

  1- Establish a Will or Trust A will spells out who should receive your assets. A trust goes further—helping you avoid probate and control how and when your assets are distributed.
  

  2- Appoint Trusted Decision-Makers Name individuals to act on your behalf through a power of attorney and health care proxy. These agents will make financial and medical decisions if you’re ever unable to do so.
  

  3- Update Your Beneficiaries Double-check the beneficiary designations on your retirement accounts, life insurance, and investment accounts. These override your will and trust, so accuracy is critical.
  

  4- Have Honest Conversations Talk with your family about your plans, values, and intentions. Open dialogue can reduce confusion, ease future tensions, and align expectations.
  

  5- Build the Right Team Collaborate with an estate planning attorney, a CPA, and a financial advisor. Together, they’ll help ensure your plan is comprehensive, tax-efficient, and legally sound.
  

  Please contact me with any questions.

  
  

  About the Author
  

  Kendra Hampton has nearly 20 years of legal experience. She manages her own estate planning practice and has helped hundreds of clients create and update their trust, will, and powers of attorney. Kendra is committed to educating clients on the importance of estate planning and crafting personalized planning strategies.