Gen X should rethink retirement plans that rely on uncertain inheritances

A recent commentary highlights that relying on parental wealth to fund retirement is risky for Gen X, as only about one in three households ever receive an inheritance and the average amount is modest compared with the top one percent. The typical age at which inheritances are received is around 58, often after major expenses such as mortgages and college tuition have passed, reducing their usefulness. Moreover, escalating costs for nursing home and assisted-living care can deplete a parent's estate before any assets are passed on.

The piece advises individuals to remove the inheritance assumption from their financial models, assess the viability of their plans, and initiate conversations about care coverage and estate management early. Treating a potential inheritance as a bonus rather than a foundation can help avoid future shortfalls.