Intergenerational wealth and inheritance
Receiving an inheritance can significantly impact your personal financial situation and change your family’s wealth.
For some, receiving an inheritance is a life-changing experience, but as with all major financial decisions, it can bring with it some changes and complexities.
At North Advisory, we have a team of experts in family wealth management who can help make your money really work for you.
Research from the Productivity Commission reveals that the baby boomer generation will pass on an estimated $224 billion annually in inheritances by 2050.
This wealth will come from property assets, superannuation, cash and shares.
Are you expecting an inheritance or in your wealth accumulation years and looking to equip your family for a financially secure future?
Either way, our team can help.
“Intergenerational wealth is not just about transferring assets — it’s about transferring knowledge, values and intent.”
Inheriting money or property
A study commissioned by money expert Vanessa Stoykov in 2021 revealed the average Australian could have a whopping $320,000 passed on in inheritance, with two in three Australians planning on leaving an inheritance to their kids.
Receiving an inheritance can be a bittersweet experience, as the grief of losing a loved one is mixed with the need to make sound financial decisions for your future.
Ultimately, you can choose to spend your inheritance however you see fit, but there are ways in which you can utilise your inheritance that are in the best interest of your own path to wealth accumulation.
These include:
- paying off high-interest debts
- making catch-up super contributions
- salary sacrificing
- buying or managing property assets
- investing in shares.
At North Advisory, we often find that when people receive an inheritance it’s not uncommon for them to simply leave their money sitting in a bank account until they have something specific they want to buy.
And while a standard transaction or savings account might be a relatively safe place to keep your funds… they aren’t really doing anything for you.
Our team offers an extensive range of wealth management services and can tailor a solution that truly meets your unique needs.
Many people have big plans to invest the inheritance they receive.
Our wealth management services take into account your values and life goals and the stage of life you are currently in, whether you are:
- Accumulating wealth – (25-45)
- Securing your future – (45-65) or
- Funding your retirement (65+)
In the instance of receiving an inheritance, your personal financial situation can change literally overnight, and while there is no harm in treating yourself or indulging in some self-care, failing to establish a financial plan could see you blow your big chance to secure your financial future.
When managed the right way, receiving an inheritance can offer investing opportunities you had otherwise not considered, with many inheritance recipients choosing to set up a family trust that will later benefit their own children and keep the wealth in the family for many generations to come.
“Thoughtful inheritance planning helps preserve family wealth while reducing the risk of conflict and inefficiency.”
The types of investments you make will depend on the investment risk you are willing to take.
Your risk tolerance as an investor is dependent on a snapshot of your entire financial situation, including your age, current assets and family situation.
A younger investor may have more time to ride out periods of volatility, for example, than those who are retired or about to retire.
A financial adviser is necessary to help you structure the right investment strategy for your circumstances because the inheritance you receive is personal, and so too should the advice you take on what best to do with it.
At North Advisory, we know the importance of feeling confident about your financial position and we can help you achieve positive outcomes with our tailored personal wealth management advisory services.
Partner with us today so that you can be excited about the future.
About the author
Marius Fourie - Director & Business Advisor
As Director and Business Advisor, Marius uses his accounting expertise and empathetic skills to work directly with business owners and help them feel at ease with their finances.
Marius saw a common need in clients that just wasn’t being met by accounting providers.
That need was for clear, open communication and streamlined accounting services that didn’t come padded out with any unnecessary features.
Business owners just don’t have time to compare different accounting firms to see which one has the best packages with the best inclusions (many of which they would pay for but never use).
Key Takeaways
Intergenerational wealth planning goes beyond asset transfer.
It also involves education, communication and preparing future generations for financial responsibility.
Clear structures help preserve wealth across generations.
Thoughtful planning around ownership, succession and governance reduces risk and uncertainty.
Tax efficiency plays a critical role in preserving inherited wealth.
Managing tax implications ensures more wealth is retained for future generations.
Driven by our values
Effortless and Seamless
On-Boarding Process
Intuitive and Knowledgeable
Direct Expert
Access
Useful and Articulate
Financial
Reporting
Forward
Thinking
Compliance Solutions
Streamlined
Tech
Integrated and Automated
Frequently Asked Questions
What is intergenerational wealth?
Intergenerational wealth refers to assets, resources and financial security that are built, preserved and passed from one generation to the next through careful planning.
How is inheritance different from intergenerational wealth planning?
Inheritance focuses on the transfer of assets after death, while intergenerational wealth planning takes a broader, long-term view that includes education, governance, tax planning and family values.
Why is planning important for passing wealth between generations?
Without planning, wealth can be eroded by tax, poor decisions or family disputes. Structured planning helps ensure assets are transferred efficiently and responsibly.
Does Australia have inheritance tax?
Australia does not have a formal inheritance tax, but other taxes — such as capital gains tax and tax on certain superannuation death benefits — can still affect inherited wealth.
When should families start planning for intergenerational wealth transfer?
Planning should begin early and evolve over time, allowing strategies to adapt as family circumstances, assets and legislation change.
What should you do if you receive an inheritance?
If you receive an inheritance, it’s important to pause before making major decisions, understand what assets you’ve inherited, and get professional guidance so you can use it wisely as part of your long-term wealth plan (rather than spending it quickly or investing without a strategy).
North Advisory’s Reviews 
On 
Flo Mitchell
4 weeks ago
Changed to this company in 2019 from former accountant and love their approach of organizing everything for me face to face with Xero set up plus being able to call as much as I need for set annual fee. They also picked up on something that was not done correctly by my former accountant and saved me $4k for this.
Timothy Cummins
A month ago
They the truly the best, Martin and Judy are so experienced, knowledgeable & professonal, also quite like speaking with Rose : ) all people are so lovely!
Michael Iera
2 months ago
Positive, Responsiveness, Quality, Professionalism, Value
Michael Iera
2 months ago
Excellent company in regards to service and professionalism. Very experienced in dealing with complex matters. Highly recommended.
Reach out we are here to help
Recognising the uniqueness of each business, we specialise in customised accounting services crafted to meet your specific needs and drive business growth.
Don’t hesitate to contact us if you’re ready to streamline your financial management with tailored solutions. Your business’s success is our primary focus. Fill in the contact form or call us to book an initial 30-minute chat.
Suite 6, 11 Oaks Avenue
Dee Why, Northern Beaches
NSW 2099
Australia