The Importance of Estate Planning for Blended Families

As I have previously discussed, recent publications are providingguidance to plan for the future of a blended family. Over half of all marriagesend in divorce, and over 75% of the individuals leaving abroken marriage get remarried. Often times this creates a unique family with stepchildren,and multiple grandparents. It is wise to plan for the unique circumstances ofyour own family. Not doing so can result in assets being distributed accordingto the law.

The problem is the law could directlyconflict with the preferences of the individual leaving the assets. It is abetter to consider drafting a will in writing that outlines who gets what.Oversimplification of a will could lead to someone being disinherited. Anotherpotential problem is what happens to the family home. However, there are legalmechanisms such as a qualified terminable interest property trust that may helpget more equitable results. Under a terminable interest property trust,the spouse has a life estate in the property, but the property is transferred tothe children after the spouse’s death. Later marriages may be more cognizant of theproperty each partner brought to the union. Ultimately, the creation of a blendedfamily can create unique circumstances. In order to avoid any harmful surprisesit is wise to consult with a certified elder law attorney. 

See Bernard Krooks, Plan Estate Carefully for Blended Family, Poughkeepsie Journal, Feb. 23, 2013.

Special thanks to Jim Hillhouse (Professional Legal Marketing (PLM, Inc.)) for bringing this article to my attention.