Raising Stewards, Not Mere Beneficiaries: Preparing the Next Generation for Inheritance

Steward—a term for someone entrusted with the care of something that does not personally belong to them—is commonly used in such realms as business, public service, and environmentalism.

Conservationists may be referred to as stewards of the land. Business leaders may describe themselves as stewards charged with acting in shareholders’ best interests. Public figures refer to stewardship of democracy, taxpayer dollars, and the public trust.

The concept of stewardship has also gained traction in finance and wealth management. Adopting a stewardship mindset, as in stewarding family wealth, shifts conversations about estate planning and inheritance from consumption to long-term preservation, from entitlement to responsibility, and from instant gratification to legacy.

In estate planning, raising stewards rather than mere beneficiaries can reshape how families approach intergenerational wealth.

Americans Plan to Inherit, but Do They Intend to Be Stewards?

Many Americans expect an inheritance. Between one in five and one in four are banking on it, according to Northwestern Mutual, and most of those say that an inheritance is crucial to their financial security.^[1] 

When pressed about how they would spend an inheritance, their answers vary. When Choice Mutual posed this question, the top answers included putting the money into savings (nearly 75 percent); investing it (57 percent); purchasing or improving a home (40 percent); and paying off debt (39 percent).^[2] 

Rounding out the top five, respondents said they plan to pay their inheritance forward to their own children. Northwestern Mutual found something similar: About one-third, including 39 percent of Gen Z, intend to leave an inheritance or financial gift.^[3] Yet this desire to leave a financial legacy does not appear to align with the steps required to preserve one. For example, almost two-thirds of Gen X respondents report that they do not have a will, the most basic estate planning instrument.^[4]

In other words, estate planning actions often fail to match estate planning intentions. No family wants to see their wealth dissipate within a generation or two, but that is exactly what can happen when wealth is transferred without being placed in a stewardship framework.

Reframing Inheritance Around Stewardship Principles

Even the most affluent families, often viewed as experts in preserving wealth, struggle to sustain it across generations.^[5]

Around three-quarters of high-net-worth families say their heirs are “not very prepared” for their inheritance, and 61 percent admit that they have provided no meaningful direction to their beneficiaries about how they intend the wealth to be used.^[6] The lesson is less about the size of the estate than it is about preparation.

When handing down more-modest fortunes, words like legacy can feel out of reach. But again, stewardship is not about magnitude; it is about mindset. Research shows that the way we think and talk about money shapes the way we receive it.^[7] If inheritance is described as a windfall, it is often spent like one. If it is presented as something built with intention and meant to endure, heirs are more likely to treat it with care.

Such a shift does not happen automatically. It requires thoughtful, intentional conversations. Families who talk openly about how their wealth was created, what sacrifices were made, and what values guided their decisions give heirs more than assets—they give them context. Context can foster a sense of responsibility that, in turn, can help mold beneficiaries into stewards.

When families avoid these conversations, assumptions fill the gap. When they have them, alignment becomes possible. Stewardship grows in clarity, not in silence.

How to Raise a Steward: Breaking the Inheritance Silence

Speaking early and proactively with your heirs will leave you feeling much more prepared to pass on your hard-earned wealth and more confident that your wishes for its use will be respected when you are gone.

Many financial advisors strongly recommend family money discussions to help prevent misunderstandings, build financial literacy, align multigenerational values, and set expectations. A lack of transparency around transfers can lead to confusion and conflict that make mismanagement more likely.

However, a single conversation should not be expected to mold beneficiaries into stewards. Stewardship develops through ongoing engagement. Think of such talks as a continuing dialogue about money that incorporates the following principles:

●       Talk openly about money and decision-making. Make financial conversations part of normal family life. Even young children can learn how choices involve trade-offs. As they mature, discussions may expand to investing, financial risk, taxes, and long-term planning. Confidence grows when money is discussed over time rather than introduced all at once.

●       Involve children in philanthropy or shared financial decisions. Experience builds judgment. Let children research charitable causes, participate in decision-making about giving, or observe meetings with advisors. Exposure to real decisions reinforces the idea that wealth carries responsibility and makes preservation tangible.

●       Consider shared family mission statements for family trusts. Specify what the family’s wealth is meant to support, whether it is education, entrepreneurship, stability, community impact, or something else. A written statement, whether formal or informal, can guide conversations and trust design, setting a shared standard that family members can strive toward and answer to.

●       Start small. Responsibility develops with practice and repetition. Managing a modest account, participating in family budgeting discussions, or overseeing a limited pool of funds reinforces stewardship practices before significant assets are transferred.

Handing Stewards the Keys to the (Family) Kingdom

Thinking about stewardship without talking about it with your loved ones can allow old money habits and assumptions to persist. But words alone are insufficient. Stewardship does not require perfection; it requires intention. For that intention to take root, families must move from private thoughts to open conversations to estate planning actions that reinforce the values they hope to pass on. If we can help you prepare your beneficiaries, please give us a call at 937-589-4144.

[1] Intentions Rise, Expectations Fall: The Number of Americans Planning to Leave an Inheritance Goes Up as the Number Expecting to Receive One Goes Down Finds Northwestern Mutual's 2025 Planning & Progress Study, Northwestern Mut. (July 8, 2025), https://news.northwesternmutual.com/2025-07-08-Intentions-Rise,-Expectations-Fall-The-Number-of-Americans-Planning-to-Leave-an-Inheritance-Goes-Up-as-the-Number-Expecting-to-Receive-One-Goes-Down-Finds-Northwestern-Mutuals-2025-Planning-Progress-Study.

[2] Anthony Martin, 66% Of Young Americans Expect To Benefit From Great Wealth Transfer, Choice Mut. (Mar. 9, 2026), https://choicemutual.com/blog/great-wealth-transfer.

[3] Intentions Rise, Expectations Fall: The Number of Americans Planning to Leave an Inheritance Goes Up as the Number Expecting to Receive One Goes Down Finds Northwestern Mutual's 2025 Planning & Progress Study, Northwestern Mut. (July 8, 2025), https://news.northwesternmutual.com/2025-07-08-Intentions-Rise,-Expectations-Fall-The-Number-of-Americans-Planning-to-Leave-an-Inheritance-Goes-Up-as-the-Number-Expecting-to-Receive-One-Goes-Down-Finds-Northwestern-Mutuals-2025-Planning-Progress-Study.

[4] Id.

[5] Leo Almazora, What history says about the fleeting fortunes of America's wealthiest families, Inv. News (Feb. 24, 2025), https://www.investmentnews.com/practice-management/what-history-says-about-the-fleeting-fortunes-of-americas-wealthiest-families/259420.

[6] How to talk to your kids about their inheritance: Why wealth transfer conversations are crucial, RBC Wealth Mgmt. (Mar. 4, 2026), https://us.rbcwealthmanagement.com/riversideassociatesfg/blog/5261502-How-to-talk-to-your-kids-about-their-inheritance-Why-wealth-transfer-conversations-are-crucial.

[7] Rowena Gillo, LCSW, et al., ‘I’m Just Bad with Money’: How Self-Fulfilling Prophecy Shapes Financial Behaviors, FPA (Mar. 2023), https://www.financialplanningassociation.org/learning/publications/journal/APR23-/im-just-bad-money-how-self-fulfilling-prophecy-shapes-financial-behaviors-OPEN.