Wealthy people are worried about leaving their kids ‘too much’ money
Wealthy celebrities like Daniel Craig and entrepreneurs like Warren Buffett and Kevin O’Leary aren’t the only ones concerned about leaving too much money to their children: Millionaires are increasingly worried about how much of their fortunes to give to their kids.
That’s according to a survey conducted by The Motley Fool, which asked 2,000 high net worth individuals — classified as people with a net worth over $1 million — about their attitudes toward inheritances.
Sixty-seven percent of the respondents identified the concern that they might leave too much money to their heirs as one of the main concerns.
Many respondents were worried about how much wealth they left to their heirs. Some feared that this money would “be used irresponsibly” and that beneficiaries “would be lazy.”
Jack Caporal, Motley Fool Research Analyst tells CNBC Make It that it is clear that wealthy individuals worry about leaving an excessive inheritance. Their heirs are encouraged to take up the values they believe are important and are open to considering leaving them inheritances.
According to the survey, 85% of those who were high-net worth agreed that they could leave their inheritance to too many people. 84% of those who had an inheritance of between $500,000-$1 million said so.
Caporal describes that 84% of respondents agreed that results and responses were guided by their experiences.
Only 78.5% said yes to inheritances worth $100,000-$500,000 and only 69% agreed for those that received less than $100,000.
However, respondents to the survey said that they considered it very important to leave inheritances. 60% said it was “very important”, while 34% stated they would leave more than 50% to their heirs.