How Should You Split Your Assets?

One of the most common questions we hear is: “How should I split my assets?” The answer may not be as easy as you’d think. Even if you have children and the natural inclination is to leave everything to them, sometimes it isn’t that simple. From different stages in life, to the psychology of money, dividing your assets may not be as straight forward as it seems.

How Should You Split Your Assets?

Choosing beneficiaries is a crucial aspect of estate planning. It allows you to designate who will inherit your assets, ensuring your wishes are carried out. This decision should go beyond simply naming your children. Consider factors like your heirs’ financial situations, future needs, and even their maturity when handling inheritances. You can also name guardians for minor children or designate charities you hold dear to receive a portion of your estate. By carefully considering these factors and discussing your choices with your loved ones, you can ensure your legacy strengthens the bonds within your family and honors your values.

Beyond “Equal”: Considering Your Family’s Needs

Imagine this: you have two children, Sarah and Michael. Sarah, your driven entrepreneur, has built a thriving business and seems financially secure. Michael, on the other hand, has pursued his passion for art, but financial stability has been elusive. He has a young family to support, and the rising costs of childcare and education add constant pressure. In this scenario, an equal split of your estate might not reflect your true wishes. While Sarah may not necessarily need the extra financial boost, Michael could greatly benefit from additional resources to help secure his family’s future and allow him to continue pursuing his artistic dreams.

Estate Planning for the Long Haul

Estate planning isn’t a one-time event. Your children’s lives – marriages, careers, and even health – can change dramatically over time. Imagine your son, currently single and focused on his career, meets the love of his life and starts a family. Suddenly, his financial needs and priorities may shift. Equally, an unexpected illness or disability could impact your daughter’s ability to work, creating a greater need for financial support. A well-structured plan allows for adjustments as your family evolves. Regular reviews with your estate planning attorney ensure your wishes remain effective and reflect your current family dynamic, providing ongoing peace of mind that your loved ones will be cared for no matter what life throws their way.

Open Communication: The Key to Minimizing Conflict

One of the best ways to prevent conflict is to have open conversations with your heirs. Initiate these discussions early, when emotions are less likely to run high. Frame the conversation as a way to ensure your wishes are understood and to provide for everyone’s future security. Discuss your goals for your estate and the reasoning behind your decisions. Actively listen to your heirs’ concerns – perhaps a sibling desires a specific heirloom or has questions about the fairness of the distribution. Transparency fosters understanding and reduces the chances of resentment after you’re gone. Remember, these conversations are not about creating conflict, but rather about building a foundation of trust and open communication that will benefit your family for generations to come.

We Can Help You Craft the Right Plan

At Lexern Law Group, we don’t believe in one-size-fits-all solutions. We work closely with you to understand your unique family dynamics and create a customized estate plan that reflects your specific goals and wishes.

Here’s How We Can Help:

• Tailored Strategies: We’ll explore various options for distributing your assets, considering factors like financial situations, sentimental value of belongings, and potential tax implications.
• Open Communication: We can guide you through the process of discussing your estate plan with your heirs, fostering understanding and minimizing conflict.
• Adaptability: Life is unpredictable. We’ll create a plan that can be easily updated as your family circumstances or estate evolves.
• Peace of Mind: Knowing your loved ones are taken care of allows you to focus on what truly matters: spending quality time with your family.

Don’t leave your family’s future to chance. Contact Lexern Law Group today to schedule a consultation and discuss how we can help you create a secure and lasting legacy.