2024 Wills & Estate Planning Study highlights how fewer Americans are planning their estate because they don’t think they have enough assets to pass onto their heirs — with 14% more citing this reason since last year
CHARLOTTE, N.C., Jan. 22, 2024 /PRNewswire-PRWeb/ — Caring.com, a leading senior living referral service and the nation’s top site for senior care reviews, published its annual Wills & Estate Planning Study that explores estate planning in the U.S. and the reasons Americans do or do not engage in this end-of-life planning process. In the 2024 survey, responses from over 2,400 American adults indicated that only 32% have a will – a decrease of 6% since 2023 and the lowest rate of estate planning since 2020.
When asked why they hadn’t planned their estate, a growing number of Americans felt that they didn’t have enough assets to justify the effort and expense to get a will. In 2023, 35% said they didn’t get a will due to a lack of assets, but that number has now grown by 14% with a full 40% giving this reason. The results show that it’s not only lower-income Americans who feel this way – 1 in 4 Americans earning over $80k a year also said that they too don’t have enough assets to leave their heirs.
“While many Americans feel anxiety about the economy, it’s a serious misconception that they think they do not have sufficient assets to justify an estate plan,” says Jim Rosenthal, CEO of Caring.com. “Estate planning isn’t just about who gets your money when you die. Without a plan in place, loved ones may be left with a difficult and long probate process to determine guardianship of children and pets, burial preferences, digital legacy, and more. It is crucial for most people to have an estate plan.”
While fewer Americans have a will than in years past, some demographics are bucking the trend. The prevalence of estate planning among Black Americans has risen from 26% in 2020 to 31% in 2024, an increase of 19%. Conversely, the rate of estate planning is down among both White Americans and Hispanics – with Hispanic’s rate of estate planning dropping to an all-time low of just 22%.
The survey also explored what would motivate those who don’t have a will to get one. When asked, 23% said that nothing would motivate them to ever plan their estate, 43% indicated that they are waiting until a health crisis, 24% are waiting until they purchase a home or expand their family, and 21% are waiting until they expand their family.
When those who do have a will were asked what prompted them to create one, 31% said reaching retirement was the motivating factor, 22% cited “Death of a loved one”, and 22% cited “family expansion”. 1 in 3 younger Americans (ages 18-34) mention media coverage as one of the reasons why they decided to plan their estate, compared to 17% of middle-aged adults, and just 3% of older Americans.
Overall, there is a significant disconnect between Americans’ views on estate planning and their actions. While 64% of Americans say it is ‘very’ or ‘somewhat’ important to have an estate plan, only 32% have one. Likewise, more than 2 in 3 Americans say people should have a will by age 55 or sooner, though less than half of those ages 55 and older have a will.
Other key highlights from this year’s study include:
- Younger Americans are 50% more likely to have an estate plan than in 2020.
- Higher-earning Americans are twice as likely as lower-earning Americans to get a will after expanding their family.
- The rate of estate planning among lower-income Americans is at an all-time low at just 21%.
Caring.com has conducted its annual Wills & Estate Planning Study since 2015 to educate American adults and raise awareness about the importance of estate planning. All 2024 figures, unless otherwise stated, are from YouGov PLC. The figures are weighted and are representative of all American adults ages 18 and above with a total sample size of 2,481. The survey was conducted online, and fieldwork was undertaken between November 30th and December 4th, 2023. To review survey results, infographics, and estate planning basics, please visit https://www.caring.com/caregivers/estate-planning/wills-survey/.
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