Contrary to the image of lottery-winner splurging, a Morgan Stanley survey shows 60% of inheritance recipients prioritize savings, retirement, or investments. Only about a third use it for housing or debt, with day-to-day consumption being a much lower priority.
While headlines tout a massive wealth transfer, a survey of average consumers shows a more modest reality. About half of inheritances are under $100,000, and only 10% exceed half a million, suggesting the largest sums are concentrated among the very wealthy not captured in the data.
A Morgan Stanley survey reveals a significant gap: 43% of high-income households receive or expect an inheritance, compared to only 17% of lower-income households. This trend suggests wealth transfers reinforce existing financial disparities rather than closing them.