Spending money on experiences is becoming more important than leaving an inheritance.
A growing number of Baby Boomers are shifting their financial focus away from building a hefty inheritance for their children and toward spending their hard-earned savings on enriching experiences. After decades of prioritizing saving, investing, and planning for their children’s futures, many boomers are now embracing the philosophy of “dying broke.”
This mindset shift isn’t totally surprising, given the challenges and uncertainties that come with aging. The rising cost of healthcare, the unpredictability of life expectancy, and a reevaluation of what truly matters have led many to prioritize joy, adventure, and personal fulfillment.
1. They want to enjoy life while they still can.
After spending much of their lives working hard, many boomers are ready to shift gears and focus on enjoyment rather than frugality. They’ve seen firsthand how quickly life can change, whether through the loss of friends, health challenges, or simply the passage of time. The idea of saving money for a “someday” that might never come no longer feels as comforting as it once did, according Maurie Backman of Money Wise.
Instead of leaving a large inheritance, they’d rather spend their savings on experiences that bring joy and fulfillment now. Whether it’s traveling, dining out, pursuing hobbies, or treating themselves to comforts they may have put off, boomers are increasingly choosing to savor the present. This shift is not about abandoning responsibility but about living fully in the time they have left.
2. They recognize that their kids are financially stable.
For many boomers, the pressure to leave a financial legacy has lessened because their adult children are already doing well on their own. Unlike previous generations, where inheritance was often necessary to secure financial stability, today’s adult children may already have their own careers, homes, and investments. This newfound independence allows boomers to focus on their own needs and desires without guilt, as reported by Buxton.
Instead of leaving behind money, they may choose to spend it on experiences they can share with their children and grandchildren. Family vacations, special outings, or creating lasting memories together often feel like a more valuable and personal legacy.
3. Experiences bring more happiness than material wealth.
There’s a growing understanding that experiences often lead to greater happiness than material possessions or financial assets, based on the findings of David Lerner Associates. Boomers are embracing this idea, focusing their spending on things that create lasting memories and enrich their lives. Travel, hobbies, cultural experiences, and learning opportunities often top the list of priorities.
These choices reflect a desire to live fully and make the most of their time. It’s not just about spending money but about investing in joy, curiosity, and personal growth. Many find that the happiness gained from experiences far outweighs the satisfaction of seeing a growing bank balance, particularly when they are in a stage of life where time feels increasingly precious.
4. The cost of healthcare and aging is unpredictable.
One of the biggest concerns for seniors is the rising cost of healthcare. Medical expenses, long-term care, and potential nursing home costs can quickly deplete savings. Many boomers would rather use their funds to enhance their quality of life now instead of worrying about preserving every penny for potential future needs.
This practical approach often involves spending on health and wellness, like better nutrition, fitness programs, or even alternative therapies that improve their current well-being. The idea is to maintain a good quality of life rather than hoard savings for uncertain circumstances, as stated by John Hartford Foundation. By focusing on staying healthy and enjoying life, they aim to reduce the likelihood of needing extensive care in the future while making the most of their present.
5. They want to avoid the burden of managing an estate.
Managing an inheritance isn’t always as simple as passing down money. There are legal processes, taxes, and potential family conflicts that can arise when dividing assets. Many boomers have seen families torn apart over wills and estates, and they’d rather avoid leaving that kind of legacy.
By choosing to spend their money during their lifetime, they can maintain control over how it’s used and avoid potential disputes. This decision also allows them to make intentional choices about gifting money or experiences to loved ones while they’re still alive, offering support or enjoyment without the complications of estate management. It’s a practical approach that keeps family dynamics healthy and ensures their wishes are respected.
6. They value freedom over financial legacy.
For some boomers, the thought of leaving behind a large inheritance feels more like a shackle than a blessing. There’s a sense of freedom that comes with spending money as they please, without the pressure to preserve wealth for the next generation. This mindset shift is often accompanied by a broader reevaluation of priorities, focusing on living authentically and true to oneself.
Financial freedom allows them to make choices that align with their desires, whether it’s moving to a dream location, pursuing a passion project, or simply enjoying the everyday comforts that bring peace and contentment. By prioritizing their own well-being and happiness, they feel more liberated and fulfilled.
7. They prefer gifting money and support now instead of later.
Many boomers choose to give financial gifts to their children and grandchildren while they’re still alive. Instead of waiting until after they’ve passed, they’d rather see their loved ones benefit now—whether it’s helping with education, home purchases, or simply offering a financial cushion.
This approach not only provides immediate support but also allows boomers to experience the joy of giving firsthand. They can share in the happiness of milestones and accomplishments, knowing they played a role in making those moments possible. It’s a win-win situation that strengthens family bonds and creates cherished memories.
8. They are redefining what legacy means.
For many, leaving a legacy isn’t just about money. Boomers are finding that sharing their stories, wisdom, and experiences can be just as valuable—if not more—than leaving behind wealth. They focus on creating traditions, spending quality time, and imparting life lessons that will endure long after they’re gone.
This approach to legacy is more about emotional and spiritual wealth. By prioritizing relationships and shared experiences, they hope to leave behind a legacy of love, joy, and connection. It’s a way to ensure their impact is felt through the hearts and minds of those they love, not just their bank accounts.
9. They want to simplify their lives.
As they get older, many boomers crave simplicity. Holding onto large amounts of money, property, or assets can feel like more responsibility than it’s worth. Instead, they focus on decluttering not just their physical space but also their financial lives.
Spending money to create a comfortable and enjoyable lifestyle often means downsizing, traveling light, and prioritizing what truly matters. This simplicity brings peace of mind, allowing them to focus on the experiences and relationships that bring them the most happiness.
10. They are inspired by the “you can’t take it with you” philosophy.
The realization that life is short and that material wealth isn’t coming with them into the next life is a powerful motivator. Boomers increasingly embrace the mindset that their money should serve them now rather than sit untouched in an account.
This philosophy encourages living in the moment, prioritizing joy, and ensuring that each dollar spent enhances their well-being and fulfillment. It’s a liberating approach that turns financial planning into a tool for happiness rather than just security.
11. They want to enjoy their wealth without guilt.
After a lifetime of saving, some boomers struggle with the guilt of spending their own money. However, many are overcoming this by recognizing that enjoying their wealth is not selfish—it’s smart. They’ve earned the right to relax, indulge, and live well without second-guessing every expense.
By letting go of guilt and embracing a healthier relationship with money, boomers find themselves living more fully. They focus on making choices that bring happiness and fulfillment, transforming their retirement years into a vibrant and joyful chapter of life.