Bequests through the ages: How each generation feels about gifts in Wills
From the Silent Generation (1925 – 1945) to Gen Alpha (2010 – 2024), every generation has its own unique way of viewing, impacting and reshaping the world.
For Australians, one thing remains consistent: our affinity for giving to those in need. We love to offer our support with one-off donations and monthly gifts to trusted charitable organisations.
But what about charitable bequests – the gift of leaving some of your estate to a cause close to your heart?
Here at Include a Charity, we aim to encourage Boomers and beyond to keep this giving spirit alive. And what better way than by leaving a gift in your Will?
How all Aussies feel about giving
Australians are a generous bunch. Many of us see charities as an essential part of our social fabric. And with four out of five Australians having donated at one point or another, not-for-profits are a vital gateway to help us fulfil our altruistic desires.
Giving trends across the generations
In November 2023, the latest statistics from Legacy Foresight hit our inboxes – and the results are clear: Australians of all ages and backgrounds are cause-driven givers.
Legacy Foresight tracked our giving habits over 15 years against factors such as life expectancy, family status, sexuality, cultural identity and education. And there were some interesting findings indeed.
Take, for instance, family status. Overall, we are moving away from the traditional ‘nuclear family’ model of two heterosexual adults with pigeon-pair offspring – and into a variety of family setups.
Child free individuals and couples are on the increase, with a prevalence of 16% in Gen X compared to 12% in the Baby Boomers.
And as the number of adults without direct dependants grows, so does their dedication to finding other ways to give back to the world.
Another interesting finding is the correlation between sexual identity and a propensity for giving.
A study conducted by research group Yonder – a partner of Legacy Foresight – found that 23% of Australians who identify as part of the LGBTQIA+ community are considering leaving a gift in their Will compared to 17% of non-identifying people.
While the report didn’t specify why people give, it shows that Aussies from all walks of life are keen to donate.
The way Australians like to give
The last decade has seen a shift in the way people give. Many have moved from monthly donations to one-off donations when they encounter a cause that strikes a chord.
Younger generations prefer to give where and when needed – rather than a consistent donation to the same charity.
But the Baby Boomers, born between 1946 and 1964, haven’t followed this trend. They still prefer to give via regular monthly or annual donations – and stay loyal to their chosen organisations.
When you look at Boomers’ habits, this makes sense.
Boomers prefer to take their time to understand where their dollar is spent. This often requires in-depth research – assessing a charity’s annual reports to crunch the numbers.
All this time, effort and investment means that when they find a cause they trust and support, they’re much more likely to stay put. They’re regular givers – not reactive ones.
Conversely, Millennials, Gen X and Z, are less inclined to investigate the inner workings of a specific charity and more likely to socially advocate for an overall cause.
Budding bequests for the Boomers and Gen X’s
As of 2023, Boomers and Gen X’s make up 40% of Australia’s population.
So, as we deepen the conversation towards charitable gifts in Wills, let’s turn to those who have lived a longer life – and who may be closer to writing their final Wills.
Boomers are considered the first generation to have entered the third-age phase of life: longevity of life after retirement.
With more education than their predecessors, Boomers have built strong careers. In turn, they have greater assets and superannuation – making them the wealthiest (and longest-living) generation ever.
Gen X is on a similar trend. Born between 1965 and 1979, they have built careers and amassed assets – and continue to grow them today. However, the rising cost of living and significant global events have impacted their financial standing more than Boomers.
But together, these two powerful and influential demographics can shift and shape the world by choosing to leave a gift in their Will.
When it comes to wealth, Boomers are still leading the way
Baby Boomers are a generation led by impact – and inspired by outcome.
Born into a world of social injustices like gender and race inequality, many were brave enough to face them head-on. Demanding social change and leading the way for future conversations – leading to women’s lib and the civil rights movement.
Equality, respect and love for all were strong messages of the 60s and 70s. But the Boomers’ aspirations weren’t fancy-free pipe dreams.
This combination of higher education and industriousness – along with the leaps and bounds of our national economy – is why Boomers hold almost half of Australia’s wealth.
It also means Boomers, followed by Gen X’s, have the power to make the biggest impact, even after they’re gone.
At times, there have been doubts around the validity of charities’ processes – with some potential givers concerned about how much of their donation gets to where it’s needed.
But with recent reforms in the sector – including the creation of the government-run Charity Register – transparency and trust are returning.
The power of a bequest
Charities are a vital pathway for our generous nature as a nation – and bequests are a key contributor to not-for-profits. One quarter of all funds raised in Australia now comes from gifts in Wills. Legacy Foresight has assessed this as a conservative $800 million in 2022 and is set to rise to $3.5 billion by 2050.
The Legacy Foresight findings show that almost 50% of Aussies love the idea of leaving a gift to a charitable organisation in their Will. Yet only 13% follow through.
So, our hope for today is to encourage the Boomers, Gen X’s and beyond to consider the positive impact a bequest will have on your legacy – and the world around us. Continued giving doesn’t have to end with our time on earth.
Want to learn more about leaving your mark on the world?
Discover how Include a Charity, a campaign by the Fundraising Institute of Australia, collaborates with inspiring charities to make gifts in Wills the norm in Australia.
