Why Retirees Are Choosing Life Over Legacy: The 'Skiing' Trend

Reimagining Retirement: The 'Skiing' Movement

As I reflect on the shifting landscape of retirement planning, one story stands out from the BBC's recent coverage — that of Sarah Moorhouse and her husband Geoff. Their decision to live life to the fullest rather than save for future generations is part of a global phenomenon that financial experts are beginning to take seriously. This isn't just about spending; it's about redefining what retirement means.

The term 'skiing' — spending the kids' inheritance — has gained traction in both the UK and US, as retirees reconsider how best to use their hard-earned pension pots. In the UK, one in seven parents now plan to enjoy their money rather than pass it on, according to a report by Standard Life. The same trend is evident across the Atlantic, with the number of Americans expecting an inheritance dropping from 25% in 2024 to just 20% last year.

"I'm of an age where I'm going to friends' and acquaintances' funerals, and I think you just need to live life and enjoy it while you can, because it's a very precious commodity," said Sarah.

The Economic Reality Behind the Choice

This shift in mindset isn't purely emotional. It's rooted in a changing economic landscape. The decline of final-salary pension schemes has left many retirees uncertain about their financial futures. Unlike defined-benefit pensions, which guarantee monthly payments for life, most modern pensions are defined contribution plans — where the final amount depends on investment performance and contributions over time.

Mike Ambery, retirement and savings director at Standard Life, points out that the uncertainty of these pots makes it difficult to plan for legacy giving. "It's easier to be generous with a legacy if you know your retirement income will last as long as you need it," he explains. The financial security provided by final-salary pensions is largely a relic of the past, especially in the UK where these schemes have all but disappeared.

This isn't just about being cautious — it's about being strategic. For those who are well-informed about their retirement funds and are confident they can sustain their lifestyle, the decision to spend rather than save may actually be more financially responsible. It's a calculated move based on knowledge of how pension systems work.

From Savings to Experiences

We often hear stories about people choosing to travel or buy luxury items as part of their retirement. But what we're seeing now is something deeper — a reimagining of financial legacy itself. Karen Green, a retiree who has lived in Provence for over a decade, is one example of this new breed.

"I have been quite explicit to say there is unlikely to be a legacy because I'm anticipating spending it all," she told me. Karen's approach reflects an important reality: retirees today are not only thinking about what they want now but also how to communicate that clearly to their families. She doesn't want her children to expect an inheritance; she wants them to understand and support her lifestyle choices.

She's also a semi-retiree — continuing to consult part-time, supplementing her pension with rental income and business work. This strategy allows her to enjoy her life without compromising financial stability. Her annual spending of over £10,000 on holidays illustrates just how far people are willing to go in pursuit of joy.

Global Implications

The skiing trend isn't unique to the UK or US — it's a global phenomenon. In the US, financial institutions like Northwestern Mutual report that while 56% of retirees have private pensions, fewer than one in five expect to receive an inheritance from their parents.

For comparison, social security retirement benefits in the US provide a maximum annual payout of $49,824 for someone retiring at full retirement age (currently 67). However, people can opt for lower payments as early as age 62. For many retirees, this means that even with government support, the financial safety net is limited — so they choose to enjoy their savings now rather than wait.

This global shift challenges traditional assumptions about intergenerational wealth transfer. It suggests a broader cultural evolution where experiences are prioritized over accumulated assets. The concept of "spending it all" has become not just acceptable, but empowering for many.

The Emotional and Social Impact

While this trend is driven by financial logic, it also reflects deeper societal values. For many retirees, the idea of leaving money behind feels less meaningful than living well while they can. As Sarah puts it, "you only have one opportunity at life." That sentiment resonates not just with those who are retired, but with society at large — especially in an era where work-life balance and personal fulfillment are increasingly prioritized.

It also affects how families interact. When parents make clear their intention to spend rather than save, it forces children to reframe their expectations. It's a form of financial transparency that can lead to better communication between generations — something that's often missing in discussions around inheritance.

Financial Planning in a New Era

This evolution has important implications for how financial advisors and policymakers approach retirement planning. The traditional model assumes retirees will accumulate wealth for their children. But this new reality suggests a need for updated guidance, one that encourages people to think critically about their own needs versus their children's expectations.

As I've seen in my own reporting, the key lies not just in numbers or pension schemes but in understanding how individuals choose to spend their lives. When someone decides to travel the world or enjoy a new hobby, they're making a statement about what matters most — and that has value beyond dollars and cents.

The skiing movement may seem radical, but it's ultimately a logical response to changing times. It challenges us to rethink how we value legacy, and perhaps more importantly, how we live our lives with intention and joy.