Intergenerational Financial Transfers from Older Americans: Evidence from the Health and Retirement Study

Leah K. VanWey, Indiana University
Shelley Nelson, Indiana University

We know little about the effects of family changes among the older generation on intergenerational financial transfers. Research on marital status effects on social and financial support among the elderly has focused primarily on the effects of widowhood or divorce on the receipt of support by the elderly. Research on intergenerational transfers has focused on the motivations of parents and the competition among children for inheritance. This paper builds on these research traditions by exploring the role of family structure among older adults in transfers to children or grandchildren. To do this, we estimate logistic regression models of making a transfer to any child or grandchild among older adults using data from the Health and Retirement Study. Results show key differences in the determinants of transfers by marital status and gender, and show the inertia of transfer behavior.