Only 27% of Americans Under Age 60 Expect to Receive an Inheritance
CHICAGO, Sept. 16, 2013 /PRNewswire/ -- Roughly one in four Americans under the age of 60 (27%) expects to receive an inheritance, according to a new Interest.com report. However, 64% of Americans age 60 and older expect to leave an inheritance to family members.
Forty-two percent who expect an inheritance say they will use the money to invest in savings or a retirement account. That was the most popular answer by a wide margin, followed by "pay off debt" (18%) and "pay for education" (12%). Only six percent said they will use the bulk of the inheritance to buy something special such as jewelry, a luxury car or a vacation.
Among those who expect an inheritance, about half (51%) think it will be less than $100,000. The most popular answer, given by 25% of respondents, was between $10,000 and $50,000. The average balance in Americans' 401(k) accounts is approximately $80,000, according to Fidelity Investments.
"Even a relatively small inheritance can make up for many years of saving too little," said Mike Sante, managing editor, Interest.com. "An inheritance could be the ultimate financial 'get out of jail free' card for many families."
The survey was conducted by Princeton Survey Research Associates International (PSRAI) and can be seen in its entirety here:
PSRAI obtained telephone interviews with a nationally representative sample of 1,005 adults living in the continental United States. Interviews were conducted by landline (501) and cell phone (504, including 239 without a landline phone) in English by Princeton Data Source from August 1-4, 2013. Statistical results are weighted to correct known demographic discrepancies. The margin of sampling error for the complete set of weighted data is plus or minus 3.7 percentage points.
Since it was created in 1994, Interest.com has been helping consumers make smart financial decisions. Interest.com's stories, calculators and interest rate tables also appear on the websites of more than 100 newspapers in 31 states, including the Los Angeles Times, the Chicago Tribune and the Dallas Morning News.
Interest.com is owned by Bankrate, Inc., which is among the largest and most trusted providers of personal finance advice and information on the Web.
For More Information:
Public Relations Manager, Bankrate, Inc.
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