The Silver Tsunami is Here – Are You Ready for the Wave?

The wealth management and estate planning industry stands at the center of one of the most significant generational wealth transitions in history. Often referred to as the "Great Wealth Transfer," the “Grey Wave” or even the “Silver Tsunami”, an estimated $124 trillion is projected to move between spouses, next generations and charitable organizations through 2048.¹ Notably, $18 trillion of that total is expected to pass to charity, making philanthropy a central component of wealth and estate planning.

It’s no question that our population is aging. The U.S. Census projects that by 2034, adults over 65 will outnumber children under 18 for the first time in our country’s history.² Baby Boomers (people born between 1946 and 1964) and the older Silent Generation together account for nearly 60% of the accumulated net wealth in the U.S.³ For professional advisors, this transfer represents both a challenge and an opportunity. Advisors who neglect wealth transfer planning risk losing manageable assets passing onto heirs and beneficiaries. Those who embrace comprehensive planning that includes charitable giving and philanthropic planning can strengthen client relationships, engage the next generation and create enduring family legacies.

Lifetime and Testamentary Giving is Increasing

The latest findings from Giving USA 2026, the industry authority on charitable giving trends, underscore why charitable planning deserves a larger role in advisory conversations. Total charitable giving in the United States reached a record $617.2 billion in 2025, surpassing the $600 billion mark for the first time.⁴ Giving increased 5.7% in current dollars and 3.0% after inflation, demonstrating remarkable resilience despite economic uncertainty.

Perhaps the most significant finding for estate and wealth planners was the growth of charitable bequests. According to the 2026 Giving USA report, bequest giving grew nearly 20% in three of the last four years, reaching approximately $62.2 billion, which was the fastest-growing source of charitable giving in 2025. And, bequests accounted for roughly 10% of all charitable giving, up from prior years. The rise in charitable bequests is a clear indication that the wealth transfer wave is no longer a prediction but a reality.

Furthermore, this trend should not be viewed as a temporary anomaly. Rising asset values, aging Baby Boomers, and increased awareness of legacy giving are creating favorable conditions for continued growth in charitable estate gifts. As the largest generation of wealth holders advances through retirement, advisors and their clients are increasingly recognizing the power of wealth transfer strategies that can benefit heirs and meaningful causes. For example, split interest vehicles such as charitable remainder and lead trusts are great planning strategies to preserve wealth and generate income for beneficiaries along with substantial tax savings. In addition, private foundations and donor advised funds are great opportunities for advisors to manage charitable assets for families over the long term and recommend qualified charitable grantees to their clients to consider.

The Need for Philanthropic Advice

The 2026 study from The Philanthropic Initiative (TPI) demonstrates the need for charitable planning services. The study found that 90% of advisors believe discussing philanthropy is good for business and 95% believe philanthropy is important for building relationships with the next generation. In addition, 78% of high-net-worth clients believe it is important to include their extended family in philanthropic planning. Moreover, the TPI Study revealed that 96% of advisors believe it is their professional and/or ethical responsibility to raise the subject of charitable giving with 80% of clients agreeing.⁵

Many affluent clients have altruistic traits, but few can articulate what causes, and more specifically, what organizations resonate with them. Clients who are civically oriented, have a history of volunteering, have been impacted by a health event or do not have close heirs may be especially receptive to charitable planning conversations. Core value planning, family mission statements and legacy letters are some strategies to help clients manifest charitable intentions and communicate those wishes to the next generation. Furthermore, tax planning can solidify the case for charitable giving. For example, common indicators are commonly clients who are or will be subject to federal or state estate tax, those with large “pre-tax” traditional IRA or 401k plans, those owning highly appreciated assets and those experiencing a liquidity/large income events, such as from a business sale or large bonus.

Once clients discern their charitable giving motivations, advisors can provide additional value by identifying organizations that align with client charitable investment philosophies. A charity’s annual financial report and 990 Information Return are crucial sources to review when evaluating what organizations demonstrate prudence with donor dollars, longevity, public trust and impactful social returns. As a part of this process, advisors should, at a minimum, check a charity’s standing with the IRS and applicable state agencies to ensure the deductibility of their client’s donations. Once clients find the right causes and organizations, advisors can help determine what assets are best for giving and how to deploy them for maximum impact and tax savings.

Riding the Wave to the Next Generation

The Great Wealth Transfer is not simply about assets moving from one generation to another – it’s also about a shift in expectations. Millennials are expected to inherit approximately $46 trillion, while Gen X stands to receive about $39 trillion over the coming decades.⁶ These groups often place greater emphasis on social impact, community engagement and mission-driven outcomes than previous generations. As such, professional advisors are well positioned to build relationships with the next generation by incorporating philanthropic planning into their client services.

The record levels of charitable donations reported in Giving USA 2026 and the unprecedented scale of the Great Wealth Transfer point to the same conclusion: charitable planning can no longer be considered a niche specialty, but a necessary element of comprehensive generational wealth planning. Advisors who proactively integrate philanthropy into estate, tax and family wealth discussions will be better positioned to:

• Build trust and credibility with clients
• Engage heirs and surviving spouses
• Differentiate their value proposition
• Support clients' legacy goals
• Facilitate meaningful charitable impact

For your clients who are inspired to help fight the #1 and #4 killers in the U.S., please keep in mind the American Heart Association and the American Stroke Association. Our organization has been a leading source of health information and cardiovascular research for more than 100 years, and a recent poll shows that the American Heart Association is the most trusted public health source after one’s personal physician.⁷ You can view our expenditures and lifesaving work by downloading our current annual report here: 2024-25 Annual Report | American Heart Association.

About the Author

Gunnar M. Crowell, JD
Senior Charitable Estate Planning Advisor

Gunnar is based in Madison, Wisconsin and serves IA, IL, IN, KY, KS, MI, MN, MO, ND, NE, OH, SD, and WI.

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Sources

1. The Cerulli Report: “U.S. High-Net-Worth and Ultra-High-Net-Worth Markets”, June 2024, Cerulli Associates
2. U.S. Census: An Aging Nation: Projected Number of Children and Older Adults
3. The Federal Reserve: Distribution of Household Wealth in the U.S. since 1989: The Fed - Table: Distribution of Household Wealth in the U.S. since 1989
4. Giving USA 2026: The Annual Report on Philanthropy for the Year 2025, which is a publication of Giving USA Foundation researched and written by the Indiana University Lilly Family School of Philanthropy
5. The 2026 TPI Study of the Philanthropic Conversation, conducted by The Philanthropic Initiative (TPI) and co-sponsored by DAFgiving360™ and Foundation Source, with support from the Boston Foundation
6. The Cerulli Report: “U.S. High-Net-Worth and Ultra-High-Net-Worth Markets”, June 2024, Cerulli Associates
7. https://newsroom.heart.org/news/new-poll-american-heart-association-most-trusted-public-health-source-after-personal-physician