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Financial Planning
Building financial security
across three generations
Ensure your financial plans support not only your future but also the generations that follow
In an era of rising living costs, longer lifespans and increasing tax pressures,
many UK families are beginning to think beyond their own financial future.
Increasingly, the focus is shifting towards building long-term financial security
that can benefit children, grandchildren and even future generations.
Passing wealth efficiently
to the next generation
For older generations, estate planning becomes
increasingly important. Without proper planning,
a significant portion of wealth could be lost to
Inheritance Tax, which is currently charged at up
to 40% on estates above certain thresholds in the
2026/27 tax year.
Simple steps such as using gifting allowances,
reviewing Wills and considering trust structures
can help ensure more wealth is passed on to family
members rather than lost to tax.
In many cases, early planning also provides
greater flexibility, allowing individuals to transfer
wealth gradually rather than making decisions at the
last minute.
Creating a lasting family financial legacy
Ultimately, building financial security across
generations is not just about tax efficiency or
investment performance. It is about creating
long-term stability, opportunity and resilience for
R
family members.
ather than treating wealth as something
Individual Savings Accounts (JISAs), pensions for
By combining savings discipline, thoughtful
built and spent within a single lifetime,
children or regular gifting to build long-term savings.
planning and professional advice where needed,
families are now exploring ways to
Even modest contributions, made consistently
extends beyond one generation and becomes a
estate planning so that financial stability can be passed
compounding. Starting early allows investments to
lasting legacy. t
on more efficiently and effectively.
benefit from decades of potential growth, creating a
meaningful financial foundation for adulthood.
Tıme to protect your
family’s financial security?
Why generational planning
is becoming essential
positive financial habits in younger family members,
Traditionally, financial planning has focused on
encouraging saving, investing and long-term
If you would like to understand how to build or
retirement and later-life income. However, changing
thinking from an early age.
protect your family’s financial security, explore
Importantly, this approach can also help instil
ways to pass on wealth more efficiently or re-
economic conditions have made it harder for younger
Supporting retirement
while protecting wealth
view your current financial and estate planning
At the same time, older generations are living
For the middle generation, typically those in their
tion. A tailored approach can help ensure your
longer and often hold significant wealth in property,
peak earning years, the focus often shifts towards
financial plans support not only your future but
pensions and investments. This combination has
balancing retirement planning with family support.
also the generations that follow.
created a growing opportunity and responsibility
This can include maximising pension contributions,
generations to get onto the property ladder, build up
savings and achieve financial independence.
strategy, please contact us for further informa-
for families to consider how wealth is passed
using ISAs efficiently and reviewing tax allowances
between generations.
to ensure wealth is structured effectively. It may also
This article does not constitute tax, legal or
involve helping children financially while avoiding any
financial advice and should not be relied upon as such.
compromise to personal retirement security.
Inheritance tax and tax planning are not regulated by
Helping children get a financial head start
04
families can ensure that financial wellbeing
over time, can grow significantly through
structure savings, investments and
For many families, the first step in generational
Striking this balance is key. Supporting family
planning is to support children and grandchildren
members should not come at the expense of long-
early on. This may include contributions to Junior
term financial independence in later life.
the Financial Conduct Authority. For guidance, seek
professional advice.
