Baby Boomers are unique in many ways, one of which being that they are one of the only generations in recent history, and the first in multiple generations to decide, in large numbers, not to leave money or wealth behind for their children, descendants, or other relatives.

This is particularly true of boomers with no children. Why is this? What is it about the boomer generation that makes them more selfish than previous and subsequent generations? Is it a generational hallmark, or the result of the world they inherited? Here is what the experts have to say.

What do the Data Say?

There are a handful of studies that show Baby Boomers in general are less likely to leave money behind for family when they die. And for those Baby Boomers who have no children, anyone in the extended family is even less likely to see any money come their way.

The Nationwide Retirement Institute 2024 Social Security Survey has two questions regarding generational inheritance.

“I intend to leave some of my retirement savings and income behind for others.”

• Boomers aged 60+: 39%
• Gen X: 46%
• Millennials: 57%
• Gen Z: 69%

“I intend to spend all of my retirement savings and income to get the most out of my life in retirement.”

• Boomers aged 60+: 61%
• Gen X: 51%
• Millennials: 43%
• Gen Z: 31%

Background on the Baby Boomers

The Baby Boomer generation has been called the “largest and most powerful generation in U.S. history” because they inherited the wealth, stability, and momentum of their parents, giving them one of the wealthiest starts to life in a world that was primed with low prices and ample opportunity.

This incredible inheritance also caused the Baby Boomers to develop into the most entitled generations in history. They are the first generation in history to say that they are more interested in making money than anything else. They are the first to take education for granted, treating it as a commodity that should be used to generate wealth instead of improving themselves and the world around them (the attitude toward education that preceded the boomers). This sense of education entitlement led the boomers to believe that they were entitled to good grades, which has contributed to the modern grade inflation in U.S. schools and colleges.

According to some social scientists, the vast wealth and opportunities the Baby Boomers inherited meant that an attitude of materialism “became the norm” in the United States. Because of the Baby Boomers, wealth and money became associated with personal value, happiness, spiritual success, happiness, and social status.

As a result, Baby Boomers form the backbone of nationalist parties and movements around the world and are more likely to support capitalist policies (through both liberal parties and Christian nationalist parties) and be more selfish and ecologically irresponsible because they believe the Earth was created for them, and they should use it how they want. Ironically, a strong sense of self-reliance developed in the Baby Boomer generation despite inheriting more money and opportunities than any other generation in history.

The Current Financial Situation of Baby Boomers

The Baby Boomer generation was in their peak working years when the U.S. Dollar had its strongest purchasing power. In 1968, the federal minimum wage was $1.60, which is equivalent to $14.50 in 2023. This means that they were able to not only afford more products with less money, but they were able to save more money more quickly before inflation and price increases eroded the purchasing power of the dollar.

The purchasing power and high savings were boosted by the New Deal implemented by Roosevelt, which created one of the strongest and best economies the United States has ever seen. However, Republican presidents and lawmakers have methodically and continually eroded the regulations, laws, and worker protections of the New Deal, increasing unemployment and inflation, and weakening the labor market. This means that whatever the boomers managed to save during the peak of the American economy has been challenged less by weaker earnings from subsequent generations. Today, the job security laws and labor protections in the United States are the weakest of all the developed nations, which means that boomers who own businesses or employ younger people don’t have to pay them as much, pay for as many benefits, or treat their workers fairly, taking a greater share of corporate profits than any generation in history.

Additionally, the baby boomer generation took advantage of a strong and vibrant real estate market. In 2018, the national average for home ownership was 64%, with baby boomers owning the vast majority of homes that were purchased decades before at much lower prices.

In the end, the average net worth of a head of a family under 25 years old was $20,000 in 1995, while today it is $11,000.

So, where is all this money going?

There are three primary reasons why the Baby Boomers are choosing not to leave anything behind for family: cultural mainstays, increased costs, and generational characteristics.

The cultural mainstay reason involves our collective attitudes toward family and money. The rise of Christianity and particularly Christian nationalism has given rise to the nuclear family and placed it on a pedestal that it has never before enjoyed. Tribal and multi-family homes are extinct or nearly unheard of in the West anymore, so Baby Boomers are less likely to view extended family as part of their own family and therefore deserving of a share of their inherited wealth. Additionally, our Western capitalist culture has put a near-spiritual emphasis on “eat-what-you-kill”, meaning that some strict adherents to the tenets of American capitalism see it as a sin or immoral to give money to those who have not “earned” it.

Second, for increased costs, the private insurance industry in the United States is the main culprit. While all generations have to deal with current inflation and corporate greed (and probably the outrageous tariffs of the incoming presidency) the Baby Boomers who are in or approaching retirement naturally have more health concerns as they age.

The nature of private insurance, and the deregulation of corporate America in general, have led to American citizens paying more for healthcare than any other nation on Earth while receiving less and worse healthcare outcomes in return. In fact, the life expectancy of U.S. citizens has decreased over the last few years while healthcare costs continue to rise and the profits of healthcare insurance companies reach new levels. These higher costs are eroding the savings of Baby Boomers, causing them to spend much more on healthcare than they had probably planned or budgeted for, and many have had to return to work to make ends meet.

Third, generational characteristics. The financial goal of millions of Baby Boomers and, to a lesser extent, Gen X and Millennials, has been early retirement, and those who managed to achieve that goal naturally begin to eat into their savings at an earlier age. For the Boomer generation who developed a “me-first” attitude growing up, they are entitled to spend what is in their account and they feel no responsibility to provide for generations who come after. In fact, many Baby Boomers blame the poor financial situation of Millennials on Millennials themselves. On the other hand, for example, the majority of Millennials plan on delaying retirement because of the poor economy and opportunities they inherited from their parents. The Baby Boomer generation is the first generation in memory to leave behind a worse economy than they inherited, and in a generational first, they do not believe it is their responsibility to help later generations deal with the world they leave behind.

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