Wealth ressentment among millennials - the recurring case of friends receiving inheritances - Young Adults Resent the Wealth and Social Status Accumulated by Characters in Fictional Series 'Friends'
**Inheritance Envy Among Millennials: A Growing Concern**
As the millennial generation grapples with financial challenges, a new phenomenon has emerged: inheritance envy. This term refers to the feelings of jealousy and resentment experienced by millennials who perceive a significant disparity in the inheritance they receive compared to their peers or previous generations.
The economic landscape for millennials is markedly different from that of their predecessors. Factors such as increased life expectancy, higher costs of elder care, and economic downturns have led to smaller inheritances for many millennials. This discrepancy can create a sense of financial insecurity and exacerbate feelings of envy towards those who inherit substantial sums.
The impact of this inheritance divide extends beyond personal finances. It can strain social relationships, particularly among peers who may feel a sense of inadequacy or reduced trust due to the financial disparities. This is further compounded by the fact that millennials often share common financial struggles, such as student debt and housing affordability.
The emotional and social consequences of inheritance envy can be far-reaching. Feelings of envy may contribute to mental health challenges and social withdrawal, and they can influence life choices related to spending, saving, and financial planning.
In comparison to previous generations, millennials generally experience lower lifetime earnings and wealth accumulation. Studies show that millennials tend to have lower lifetime earnings due to factors like wage stagnation, rising living costs, and economic disruptions. This, combined with higher education debt and housing market challenges, has hindered millennials’ ability to accumulate wealth, including savings and investments.
Inheritance plays a significant role in the wealth accumulation of some millennials. For instance, one study suggests that the lifetime income of wealthier millennials is 29% from inheritance, despite their already high incomes. In contrast, for the less wealthy millennials, inheritance accounts for only 5% of their lifetime income, relative to their low wages.
The stories of millennial friends and acquaintances further illustrate this disparity. One friend inherited a large fortune from her father-in-law, which allowed her to reduce her workdays to two and afford luxuries like a Caribbean vacation and a family ski trip to Chamonix. Another friend received a financial boost from the sale of their parents' holiday home. Some friends have even moved into grand estates with pheasant portraits on the walls.
In contrast, the author and her husband, despite having good jobs, have not been able to accumulate a large fortune. They are still paying off an eight-year-old used car and are concerned about the upcoming study costs for their children, as well as the next 20 years of mortgage payments and rising bills. The author expresses her concerns about the potential impact on their lifestyle.
The gap between the wealthy and less wealthy millennials, exacerbated by inheritance, might never be overcome. As the Boomer generation accumulates significant wealth, inheritance is becoming more common among millennials. However, the emotional and social consequences of this wealth disparity are yet to be fully understood.
Further research in social psychology and generational economics would provide more precise insights into the direct impact of inheritance envy on friendships and the long-term effects on millennials' financial well-being. While specific empirical data on this topic is limited, the anecdotal evidence suggests that inheritance envy is a growing concern among millennials, with far-reaching implications for their personal and social lives.
- Other considerations, such as fruitful investments in personal-finance, wealth-management, and business, might help less wealthy millennials in their journey to financial stability and reduce feelings of inheritance envy.
- The growing divide in financial wealth among millennials, due to factors like inheritance and economic circumstances, could potentially influence their lifestyle choices, including decisions about career, spending, and saving habits.
- While inheritance plays a substantial role in the wealth accumulation of some millennials, it's essential to remember that building personal wealth through finance and smart lifestyle choices can be an alternative route for others, including the accumulation of fruitful investments and frugal living.
