Inheritance Desires: What Do Americans Really Want?
When a loved one dies, they may pass on either valuable property or sentimental possessions to their heirs. A new survey reveals that different factors may contribute to different inheritance preferences.
When a loved one passes away, they may pass on their possessions to you in the form of an inheritance. Common types of inheritances include financial assets and physical possessions. However, oftentimes the true value lies in the intangible: the memories, their wisdom, and family legacy.
In a recent study, Trust & Will asked 2,000 Americans what they truly hope to inherit from their loved ones one day. In this guide, we'll navigate these intriguing responses. Some of them are straightforward, while others may surprise you. Do your true desires align with those of other Americans? Join us to find out what this study reveals about inheritance wishes.
Inheritance: Do You Plan to Inherit?
Before we dive into the main topic, let's first explore whether Americans actually plan to inherit from their loved ones.
According to our survey, only half of respondents said they expect to inherit something from their relatives.
This means that half of Americans today do not expect to inherit anything, or do not know if they will inherit anything, from their loved ones. This is quite a surprising number, considering economists are reporting that the greatest wealth transfer in history is currently taking place.
What this might suggest is that many families are not actively discussing their inheritances with their loved ones. There are many reasons for this, such as cultural or familial taboos surrounding death and inheritances. Whatever the reason may be, many individuals may be quite surprised at the result of having such a conversation with loved ones. Some may find out that they actually do stand to inherit something of value from their family. Further, this can present opportunities to learn about the family legacy that may be represented by things other than tangible assets. (Wisdom and stories, for example.)
What Do You Really Want to Inherit?
Now let’s dive into the results of the survey questions that pointedly asked Americans what they really want to inherit from their loved ones.
Value vs. Sentiment
Of the survey respondents, 44 percent indicated that they prefer to inherit something of value while 27 percent prefer to inherit something sentimental. Others have no preference.
Inheriting something of value provides tangible benefits that can significantly impact one's life circumstances. For instance, assets like property, stocks, or cash can serve as a financial safety net, helping to provide stability and security in times of uncertainty. In the long-term, these valuables offer potential for asset growth, enabling individuals to build wealth for their future or their own family's legacy. Furthermore, valuable inheritances can be leveraged for significant life investments, such as purchasing a home, financing an education, or starting a business. These assets can potentially open doors to opportunities that might have been out of reach otherwise, assisting in the achievement of personal and financial goals.
On the other hand, sentimental inheritances hold a different kind of significance, one that is deeply personal and emotionally resonant. These are keepsakes like family photos, heirlooms, letters, or personal belongings that carry a piece of family history and personal narratives. For the 27 percent of respondents who preferred sentimental items, these objects serve as tangible connections to their loved ones, acting as reminders of shared experiences, lessons, values, and love. These items often become cherished mementos, heirlooms passed down from generation to generation, each with a unique story to tell. They are reminders of the beauty, complexity, and continuity of family bonds, an enduring legacy that outlives the transience of material wealth. Indeed, the value of sentimental inheritances lies not in their monetary worth, but in their ability to evoke memories, preserve histories, and perpetuate familial roots and identity.
Inheritance Wishlist
If you are currently planning your estate, make note. Our survey respondents also revealed what, if anything, they wished to inherit specifically. Here were the top 5 favorites:
Property — 65%
Pets — 59%
Money — 58%
Collectibles — 53%
Vehicles — 53%
It should come as no surprise that the most popular pick amongst respondents is property or a house. However, it is interesting to note that the next choice is pets, even more so over money.
Other possible answers included:
Family heirlooms
Jewelry/accessories
Clothing
Stocks/bonds
Furniture
Art
Airline miles/credit card points
Interestingly, the importance of these items tends to shift based on age. For instance, survey respondents in the youngest age bracket of 18 - 26 chose pets and money most frequently. As the age brackets mature, answers such as property, collectibles, and family heirlooms become more popular (in respective order, from ages 27 to 77.)
Estate Planning: Know Your Audience
These survey results suggest that preferences are highly personal, and they generally tend to shift with age.
Younger respondents, aged 18 to 26, leaned towards pets and money, items that provide immediate emotional and financial support. This preference could be indicative of their current life phase, where establishing financial stability and nurturing relationships, even with pets, are of paramount importance.
As we move up the age brackets, a noticeable shift occurs. Respondents in the age bracket of 27 to 42 preferred property, while collectibles were the number one pick for those aged between 43 and 58. Our oldest survey respondents were most likely to select family heirlooms. These items, often symbols of long-term investment, stability, and continuity, reflect the respondents’ maturing perspectives on life and wealth. Property and collectibles are tangible assets that may appreciate over time, signifying a shift towards long-term financial planning. Meanwhile, the rising preference for family heirlooms underscores the increasing importance of familial legacy and identity as one grows older.
These trends illustrate how our perceptions of value evolve as we journey through different life stages, highlighting the intricate interplay between age, life experiences, and our views about inheritance.
The Importance of Discussing Inheritances
In light of these survey findings, it is evident that having conversations surrounding inheritances with your loved ones is critical. It may feel awkward or uncomfortable to talk about estate planning, which is why many families have never had “the talk” in the first place. However, getting past these feelings by initiating these discussions is the only way families can ensure that the wishes of all parties are known and respected.
Having transparency surrounding estate planning and inheritances has a number of benefits:
It helps to avoid potential conflicts and misunderstandings that can arise after a loved one's passing.
It allows loved ones to express their wishes and preferences, contributing to fair distribution of assets.
It can help ensure that any sentimental items or family heirlooms are passed down to those who will truly cherish them.
It provides an opportunity for financial education, especially for younger family members, about managing inherited wealth responsibly.
It enables individuals to plan for estate taxes and take steps to minimize their impact on the value of the inheritance.
It offers peace of mind knowing that one's legacy will be handled according to their wishes.
It gives families the chance to celebrate and honor the life of the deceased, while also respecting their final wishes.
It creates a platform to pass on more than just physical and financial assets. It presents opportunities to share values, traditions, and family stories that can be treasured as part of a legacy for generations to come.
Review and Update your Estate Plan Today
The estate planning study that surveyed 2,000 respondents found out exactly what Americans really want to inherit from their loved ones.
Some of the responses were to be expected: a house, financial assets, family heirlooms, for example. However, other responses surprised us a bit. For example, pets were the second favorite, before money.
Delving a little deeper, it became more apparent that age plays an important role when determining inheritance desires. What someone wants to inherit depends on how old they are, and these preferences can shift over time.
Creating an estate plan without having any conversations with loved ones is a risk that requires assumptions to be made. A key takeaway from this study is that we may not know what our loved ones really want.
What we suggest — whether you stand to receive an inheritance, are planning on leaving one, or have no idea where you stand in either direction — is to have an open and honest conversation with your loved ones. Maybe you’ll find out that someone in your family is planning on leaving you something. Maybe you find out that your son or daughter wants nothing to do with your collection of antique dolls. Perhaps it will give you an opportunity to tell your parents that you actually wish to inherit your childhood home even though you live in a different state. Everyone involved may be surprised at what they find out.
Another key takeaway here is that estate planning should never be treated as a one-and-done deal. As we found in our study, preferences change over time. It would be a great exercise to get together as a family and discuss inheritance desires on a regular basis. What you or your loved one wish to inherit or bequeath today may be different in ten years!