Families fear heirs are not financially prepared to manage inherited wealth

A third are worried that future generations lack the confidence to manage what they receive.

At least one in two are worried that their heirs are not financially prepared to manage their inheritance, as many Singaporeans make progress in communicating their legacy plans to the next generation, according to Sun Life Asia’s latest Passing the Torch: When legacy means more than money.

The proportion of Singapore respondents with a fully documented plan that has been communicated to heirs rose from 12% in 2025 to 32% in 2026, whilst the proportion with no plan fell from 32% to 8%.

However, Singapore respondents are concerned their wealth may not survive beyond the next generation, with 55% worrying that beneficiaries will not be financially prepared to manage it. This ranks ahead of market volatility (43%) and future legal, regulatory or tax changes (40%).

Almost a third of Singapore respondents (31%) worry future generations may lack the confidence to manage what they receive. Poor financial decisions or overspending (29%) and poor investment decisions (27%) are also commonly cited risks to family wealth.

Respondents want their legacy to carry more than financial value. Whilst 65% rank money, property or other valuable assets amongst their top three legacy priorities, 46% prioritise family traditions, 34% personal influence and 32% educational opportunities for the next generation.

The tension between hopes for a legacy and concerns about its longevity is particularly pronounced amongst Millennials. Amongst those intending to pass on financial wealth, 81% worry it may not survive beyond the next generation, compared with 69% of Gen X, 65% of Baby Boomers and 59% of Gen Z.

At the same time, younger respondents also have high expectations for what their wealth can achieve. Two-thirds of Millennials (67%) and 65% of Gen Z believe their wealth will have a lasting, multigenerational impact, compared with 51% of Baby Boomers.

The gap between confidence and action is particularly clear amongst Singapore’s high-net-worth (HNW) respondents. Whilst 82% are confident in their financial knowledge, only 29% have fully documented and communicated their legacy plans, and 66% of those intending to leave wealth worry it may not survive beyond the next generation.

HNW respondents also place greater emphasis on professional support: 81% believe financial advisers or wealth professionals should play a role in legacy planning, compared with 54% of non-HNW respondents.

More than half (54%) have sought professional advice for their legacy needs, while a further 31% would like to do so.

Alongside professional support, family discussions play an important role in helping the next generation understand what lies ahead. These discussions are already taking place: nearly three-quarters of Singapore respondents (72%) say older generations in their family have communicated at least some aspects of their legacy plans, although only 34% say those plans have been communicated fully.