One in five savers say they are relying on a generous inheritance to maintain their quality of life
One in five savers say they depend on a generous inheritance to maintain their quality of life
One in five savers rely on a generous inheritance and fear for their quality of life if they don’t get a payout, research shows.
According to Lime Solicitors, millions count on a windfall from parents to secure a comfortable future. But a growing number may retire with little left, the law firm warns.
As people live longer and costs rise, family members can use more of their savings and health care costs can erode a legacy.
According to Lime Solicitors, millions of savers are counting on a windfall from their parents to secure a comfortable future and a growing number may struggle to retire if they have little left
Nearly half of the law firm’s respondents expect to receive an inheritance, despite only a third discussing plans with family.
Debra Burton, of Lime Solicitors, says: ‘Inheritance has become one of the few guarantees that many feel they can rely on to achieve the same quality of life as their parents.’
But the difference in expectation – called the “inheritance gap” – may surprise you.
The amount left to family can also be affected by inheritance tax. A rate of 40% is charged on the estate. levied above the threshold of £325,000, which rises to £500,000 when property is bequeathed to children or grandchildren.
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