Talking money with the family: the art of the difficult conversation
By Hodge | 21 May 2020
SUMMARY: To better understand how people’ attitudes towards finances evolve across the generations, Hodge interviewed over 3,000 people prior to Covid-19 – and this is what they found.
Talking money with family is difficult – and encouraging your clients to do so can be even harder. To better understand how people’ attitudes towards finances evolve across the generations, we interviewed over 3,000 people prior to Covid-19 – and this is what we found.
Not only do 1/3 of people pin their future happiness on financial goals, they’re also not comfortable discussing their finances with family – including inheritance planning. In fact, 56% of respondents said they’d be embarrassed to ask family members for financial help. The embarrassment factor hit its peak in the 35-45 age group, with 60% of this age group thinking that it’s embarrassing to ask for financial help. This drops with age and conversely, 58% of those over the age of 75 are happy to help out financially.
Our business development director, Emma Graham, says: “The study highlights not only how much importance people put on their financial security in the future, but also how difficult families find financial conversations. At Hodge, we view financial circumstances from a lifelong point of view, it’s not just about individual products – it’s a lot more about helping people throughout their lives and understanding their individual and family circumstances and how they change.”
With Covid-19 likely to increase pressures on family finances, we wanted to share our findings with you – helping you to work as the bridge that brings generations together and encourages frank discussions around family finances during these difficult times.
To find out more, and to access our resources, visit our new and improved intermediaries website, here.
For a quick glance at the research findings, please click here.