Abstract

Purpose: This study aimed to explore the effect of both financial and non-financial contributions on the existence and distribution of inheritance among children. Research design, data and methodology: Data were drawn from the Korean Longitudinal Study of Ageing (KLoSA) of the Employment Panel Survey. The analysis combined raw data from the 5th wave with information on deceased respondents from the 6th to the 8th wave. Results: First, the analysis found that regular and non-regular financial contributions by heirs had minimal influence on both inheritance existence and distribution ratio. Second, demographic factors—specifically gender and age—significantly influenced the inheritance existence, while gender, age, and birth order affteced the inheritance distribution ratio. Third, among non-financial contributions, such as proximity, visiting frequency, contact frequency, and caregiving, frequent visits and caregiving were strongly associated with both inheritance existence and distribution ratio. Conclusions: Non-financial contributions—particularly caregiving and frequent visit—had a significant influence on both inheritance existence and inheritance distribution ratio. In contrast, financial contributions played a relatively minor role. Demographic factors such as birth order, gender, and age also influenced the inheritance existence and distribution ratio in varied ways. These findings support the relevance of paternalistic and strategic inheritance motivation theories, as they highlight the importance of demographic characteristics and non-financial support in shaping inheritance decisions. In the Korean context, emotional bonds emerged as a primary strategic motivation for inheritance, outweighing the mere transfer of financial wealth.