Alex How do you split an estate with a blended family?
You and your spouse give your entire estate to each other. When the second spouse passes, the property is distributed to the children and step-children of the surviving spouse. Unfortunately, under almost all will-based plans the biological children of the first spouse end up disinherited.
What is a blended family trust?
A blended family is a family unit where one or both parents have children from a previous relationship. The key to minimizing stress on any family members and heirs is a well thought out estate plan that makes it possible to honor your spouse and provide an inheritance that is protected for your own children.
Will in blended family?
In a Will for a traditional family (one where the children are children of both spouses), most Wills will leave all assets to the surviving spouse and upon the death of the surviving spouse to their common children. …
What are 2 disadvantages of a blended family?
List of the Disadvantages of a Blended Family
- It can lead to bitter sibling rivalries.
- Most kids will struggle to share parents.
- It can create moments of identity confusion.
- Kids can have mixed feelings about their stepparent.
- Blended families typically experience more legal disputes.
How to create a trust for a blended family?
If you have questions about estate planning or creating a trust for your blended family, please contact our office at (714) 459-5481 and one of our experienced attorneys will be glad to walk you through the process.
How is the QTIP trust benefiting the blended family?
The QTIP trust allows married clients to “have their cake and eat it, too,” because it can provide an income to the spouse and yet make sure that the wealth remaining upon the death of the spouse is distributed (or held in trust) for the client’s own children, or other beneficiaries selected by the client.
What should I expect in a blended family?
In a blended family situation, we understand that the husband and wife may love each other very much, however, there are often concerns about what the surviving spouse will do with the entire estate when the first spouse passes away.
Can a power of appointment Trust benefit a blended family?
The QTIP Trust: Benefiting the Blended Family. A power of appointment trust can qualify for the marital deduction if two conditions are met: (1) the surviving spouse must be entitled to all of the income of the trust for life and (2) the surviving spouse must have a “general power of appointment” at death.
What kind of trust should be established for a blended family?
Estate planners use a special type of trust to alleviate the concerns of a blended family creating a trust. It is known as an AB trust. An AB trust is a typical revocable living trust during the Husband and Wife’s lifetimes, however, it is also a contract between Husband and Wife that provides that, at the death of the first spouse,…
How is estate planning for a blended family?
If you are in this category and raising a blended family, here are six pointers for protecting your family and your assets. A simple will probably won’t cut it. It opens the possibility that your biological children could be cut out of your spouse’s estate down the road.
In a blended family situation, we understand that the husband and wife may love each other very much, however, there are often concerns about what the surviving spouse will do with the entire estate when the first spouse passes away.
Who are the blended families in the Brady Bunch?
This article is more than 2 years old. Remember the Brady Bunch television show that extolled the joys and challenges of blended families? Mike and Carol Brady were the iconic blended family, each bringing 3 children into the marriage and raising them as one big happy family.