When Equal Isn’t Fair: Dividing Your Estate
When parents begin estate planning, one of the first questions is: How should we divide our assets? For many families, the answer is simple—equally. But equal and fair are not always the same thing. Every family is different, and estate planning gives you the opportunity to consider your family’s unique circumstances and make those decisions yourself.
What If One Child Has Already Received More?
Parents often provide financial help to their children during their lifetime. Perhaps one child received help with a down payment, college expenses, or starting a business. If you want those gifts to be considered when dividing your estate, your wishes should be clearly addressed in your estate plan. Otherwise, your children may have very different ideas about what you intended.
What About the Child Who Provides Care?
One child may live nearby and provide significant care while siblings live farther away. Should that child receive more? There is no right or wrong answer. Some parents will still want everything divided equally. Others may decide to provide something additional to the child who provided care. The important thing is that you make the decision—not your children after you’re gone.
What If Your Children Have Different Needs?
Equal inheritance does not always mean identical planning. You may want one child’s inheritance distributed outright while another child’s share is held in a trust because of that child’s financial circumstances, age, or other needs. Estate planning can provide flexibility while still allowing you to treat your children fairly.
What Happens If a Child Dies Before You?
This is another important question. Does that child’s share go to their children? To your surviving children? Does it depend on whether the child has children of their own? These are decisions that can be addressed in your estate plan.
The Bottom Line
There is nothing wrong with dividing your estate equally among your children. For many families, it is the right choice. But estate planning isn’t about following a formula. It is about making intentional decisions that reflect your wishes and your family’s circumstances. The most important thing is to make those decisions while you can—and put them in a plan that clearly communicates your wishes.
If you find yourself in need of assistance, reach out to the professionals at May Oberfell Lorber, LLP. We’re here to help you consider your options and create a plan that works for your family.
This article is for informational purposes only and is not intended to constitute legal advice.