Hello and Happy Monday:
We are excited to tell you about our event at Barsetti’s Winery in Galt, on June 22, 2017 at 6:30. Wine Tasting on Us!! Yep you heard that right. We have limited space so RSVP to our office. My colleagues from New York Life, Pacific Investments and I will provide a quick but illuminating talk on asset preservation and protection. Come join us. This should be fun!
Creating your planning requires thoughtful intention, deciding who must absolutely never be included in your plan. Should you decide to remove children or grandchildren from planning, we urge you to closely consider your reasons for doing so, as such a decision may result in significant family discord. After all, one of your highest planning goals is family harmony.
Until next time,
How (and Why) to Disinherit a Child or Grandchild
Completely disinheriting a child or grandchild should be reserved for extreme circumstances. And, if those circumstances exist in your family, it’s critical to ensure that you’ve taken the proper planning steps so that you are not leaving your loved one’s with a guaranteed lawsuit or other conflict after you are gone. Read on, if you are considering disinheriting a child or grandchild.
First, let’s get clear when it is a good idea to disinherit a child or grandchild, and when it is not. Disinheriting a child or grandchild to punish them for a lifestyle choice you do not agree with is usually not the best course of action. Instead, consider whether it may be time to release your need to control the people you love with your assets and instead recognize that each person deserves to be accepted and loved for the choices they are making.
If the lifestyle choice you disagree with is something like a drug, alcohol or gambling addiction, which could be exacerbated by an inheritance, consider creating a trust that would allow your assets to be used for treatment programs, and that may even incentivize treatment. We can help you draft appropriate provisions into your trust to address a scenario like this.
If you are considering disinheriting a child or grandchild because you are concerned that they may not make good use of their inheritance, or could even possibly lose the inheritance to a future spouse or divorce, we can support in preparing a special trust that would allow you to leave the inheritance to your child or grandchild and keep it protected from future spouses or divorces, ensuring the inheritance stays in your family, no matter what.
If you are considering disinheriting a child or grandchild because they have special needs issues and you want to ensure they qualify for governmental benefits, contact us because we can create workarounds to ensure that your inheritance can be used for their support and they can qualify for governmental benefits.
Finally, if you truly do want to disinherit a child or grandchild, be sure to do it very carefully so as not to create unnecessary family conflict. Do not attempt to do this on your own.
Be sure to document your capacity and that you are making the choice to disinherit based on your own free will, so that the disinherited family member cannot challenge the disinheritance claiming incapacity or duress.
After you’ve made these difficult decisions, make sure you review your estate plan every 1-3 years to ensure your wishes still align with your legal documents. Families are dynamic, so you should refresh your estate plan at regular intervals or after significant changes in your family take place, such as births, deaths, or marriages.
Because the decision to disinherit a child or grandchild requires significant consideration, you should not make it alone. Consult with us to help you clarify your wishes and include them in your estate plan, so they are legally enforceable and do not create additional conflict.
Working with us when considering disinheriting a child or grandchild will ensure you make the wisest decision and that your wishes will be followed when you die. If you are considering this significant decision, meet with us for guidance. A Personal Family Lawyer® can help you articulate your wishes and include them in a comprehensive estate plan so your desires—and your beneficiaries—are clear.
This article is a service of Christine Faulkner, Personal Family Lawyer®. We don’t just draft documents, we ensure you make informed and empowered decisions about life and death, for yourself and the people you love. That’s why we offer a Family Wealth Planning Session™ during which you will get more financially organized than you’ve ever been before, and make all the best choices for the people you love. Begin by calling our office today.