Preparing for the great wealth transfer
Over the next two decades, America will witness the largest wealth transfer in its history.
According to a report from Cerulli Associates, an estimated $84 trillion is expected to be passed down from baby boomers and the Silent Generation to their heirs, reshaping the financial landscape for generations to come.
This monumental shift isn't just about numbers — it’s about families, futures and the careful stewardship of decades of hard-earned wealth. For those preparing to pass on assets — or receive them — it’s never been more important to understand the tools and strategies available to ensure a successful, secure transfer of wealth.
Many families may think of inheritance in terms of wills or property, but true generational wealth planning goes far beyond that. Without careful preparation, significant portions of an estate can be lost to taxes, legal costs or mismanagement. However, there are proven strategies to help preserve and pass down wealth effectively.
One of the most versatile and powerful tools in wealth transfer planning is the trust. Trusts can help you control how and when your assets are distributed, protect them from creditors and potentially reduce estate taxes. Whether you’re considering a revocable living trust for flexibility or a dynasty trust designed to support multiple generations, working with a knowledgeable adviser can help you determine what best fits your goals.
Another key strategy is lifetime gifting. By gifting assets while you're still living, you not only reduce the size of your taxable estate, but you also get the joy of watching your loved ones benefit from your generosity. The IRS currently allows individuals to gift up to $19,000 annually per recipient without triggering gift taxes, or $38,000 for married couples. These gifts can go toward anything from a grandchild’s tuition to a down payment on a first home.
Business owners may consider forming Family Limited Partnerships (FLPs), which allow families to jointly manage and transfer business interests while maintaining control and potentially lowering estate and gift tax exposure. Meanwhile, incorporating charitable giving into an estate plan — whether through donor-advised funds or charitable remainder trusts — not only supports causes that matter to you but can also provide meaningful tax benefits.
Finally, one of the most overlooked, yet critical, aspects of wealth transfer planning is simply keeping your estate plan up to date. Life changes — whether personal, financial or legal — can all impact your long-term intentions. Regularly reviewing your plan with a trusted adviser can help to ensure your legacy remains protected and your wishes clearly outlined.
At Busey Wealth Management, we know that behind every financial decision is a personal story — a family business, a lifelong investment, a legacy of values. That’s why we take a holistic, personalized approach to wealth planning. Our advisers always act in your best interest, and we’re here to guide you through the complexities of wealth management with confidence and care.
As a premier, full-service financial institution, Busey is deeply committed to serving our communities by working to understand the unique needs of the individuals, families and businesses we serve. Whether you’re preparing to leave a financial legacy or just beginning your planning journey, Busey is here to help you navigate the path forward. Because transferring wealth isn’t just about preserving assets — it’s about preserving purpose.
Learn more about how we can help at busey.com/wealth-management.
• Jeff Burgess is executive vice president and president of Busey Wealth Management. Non-deposit products and services provided by Busey Wealth Management are not FDIC insured, are not deposits, may lose value and have no bank guarantee.