You worked tremendously hard to create a legacy over the years. After that, determining who you want to have your assets after your passing is not always as easy as naming a few people and then splitting the value of your estate among them. You may, for example, have multiple children, and you may not want to leave them all the same amount. Conversely, you may have a child with a gambling or substance abuse problem, and you may have concerns about leaving that child anything at all.
It is your prerogative to figure out how you want to divide up your wealth and who you want to have it. However, if you are not careful when creating your estate plan, you run the risk of your heirs potentially fighting over your decisions or calling them into question. Fortunately there are a number of steps you can take to reduce the chances of inheritance conflicts after your passing.
Creating an estate plan early on
Often, inheritance disputes arise because one or more children argue that the parent who made beneficiary designations was not of sound mind when he or she did so. Arguably the easiest way to avoid inheritance conflicts around such circumstances is to create your estate plan when you are unquestionably of sound mind.
Leaving assets behind in trusts
In many cases, leaving assets behind to your loved ones in a trust, rather than a traditional will, may help you reduce the chances of an inheritance conflict among your children. Leaving assets behind in trusts can also help your loved ones avoid the probate process, which often proves timely and costly.
Informing your children of the basics
Giving your children at least some sense of what they should expect to receive from you while you are still living may help prevent future inheritance conflicts. Sometimes, adult children anticipate receiving far more than is realistic, which has the potential to lead to disputes.
Preserving the peace among your children and other heirs is likely among your estate planning objectives. These tips may help you do so.