Over the next few decades, an extraordinary amount of wealth will move from older to younger generations. Often called the “Great Wealth Transfer,” estimates suggest that more than $124 trillion will change hands by 2048. For many families — especially those approaching or in retirement — this shift raises an important question: Are the next generation(s) prepared to manage what comes next?
For Northern Michigan families, this conversation often goes beyond investment accounts. Wealth may include a cottage on Torch Lake, a small business in Traverse City, rental properties, farmland, or other assets with deep financial and emotional meaning. Preserving these resources over time requires intentional planning, clear communication, and a long-term perspective.
Strengthening financial literacy and aligning around shared values can help younger generations make informed decisions as they take on greater responsibility. Families beginning this process may also find it helpful to explore our retirement planning resources (including our new Affluent Family Guide to Retirement), which provide a helpful foundation for longer-term decision making.
Plant the Seeds of Financial Literacy
Ideally, financial learning begins early and continues as an open, ongoing conversation. When children are young, simple concepts — saving versus spending, the value of a dollar, charitable giving — can be introduced in age-appropriate ways. Managing an allowance or helping plan a small purchase can make these lessons real.
As kids grow, the topics can grow with them:
- basic investing principles
- compound interest
- how debt works
- taxes
- the purpose of long-term planning
Families can also benefit from reviewing our tax-smart planning articles, which help reinforce the importance of tax awareness as kids transition into adulthood.
And for adult children — many of whom may have received little formal personal-finance education — it’s valuable to understand what they already know, where the gaps are, and what they want to learn. While 30+ states now have K–12 financial education requirements in public schools, this focus has largely come to the forefront only in the last few years. If your kids are adults now, they may have missed out. So it’s worth finding out what they know, what they don’t know and what they’d like to know more about.
Put Structure Around Learning
Beyond casual conversations, families often benefit from a more intentional framework.
This might include:
- regular family financial meetings
- goal-setting discussions, especially around shared assets
- workshops or conversations with a financial advisor
- introducing younger generations to trusted professionals they may rely on in the future
Northern Michigan families often gather during summer on the lake or around the holidays — natural opportunities to revisit legacy planning, charitable goals, or ownership responsibilities in a relaxed, low-pressure environment.
There is also no shortage of credible online resources for those who prefer to learn independently. If you’re looking to strengthen foundational understanding, we have created over 100 articles that offer helpful, practical guidance.
Turn Conversations into Action
Understanding the concepts is one thing — applying them is another. A “practice portfolio” can allow younger family members to make decisions with small amounts of money and learn through experience. Over time, as comfort and understanding grow, families may assign responsibilities that match each person’s strengths and level of interest.
Examples include:
- helping guide gifts from a donor-advised fund (DAF)
- participating in decisions about the family cottage or rental property
- taking part in stewardship discussions around the family business
- collaborating on philanthropic decisions
As responsibilities grow, it’s also worth reinforcing best practices around digital security and account access. Our Cybersecurity Protection Guide is a helpful resource as younger generations begin interacting with financial accounts, online systems, and shared family documents.
While none of these steps guarantee outcomes, they may help build confidence and encourage thoughtful decision-making over time.
Ground Wealth in Purpose and Values
One of the strongest predictors of long-term family success is not the size of the assets — it’s the clarity of the family’s values. Values help frame wealth as a tool rather than a destination.
Common themes include:
- Stewardship: recognizing the responsibility that comes with managing assets for current and future generations.
- Giving back: using resources to support the community — something deeply ingrained in many families.
- Self-worth beyond wealth: reinforcing that money supports goals but does not define the person.
Families looking to align their philosophy with a broader plan may appreciate our overview of how we work and our planning process.
Values make financial decisions easier, reduce conflict, and help ensure that wealth is used intentionally rather than unknowingly or reactively.
Keep the Conversation Going
Money conversations can feel uncomfortable — even taboo. While 66% of Americans say conversations about wealth are important, 62% say they never have them. But families who communicate regularly tend to navigate transitions more smoothly.
The most successful long-term planning happens when wealth education is treated as an ongoing process, evolving as your family grows and your financial picture changes. This includes preparing successors early, establishing clear expectations, and ensuring the right professionals are involved.
At Black Walnut Wealth Management, we help families create a thoughtful, collaborative environment for these discussions — one that aligns financial decision-making with long-term goals, values, and the legacy you want to build.
