Estate Planning For Blended Families In Canada

Estate planning for blended families can be a particular challenge for inexperienced amateurs and even professionals because the standard clauses of a will may have unintended consequences.

Estate planning for blended families in canada.

Common pitfalls in estate planning for blended families 1 the traditional concept of the nuclear family i e mother father and one or more children of a single relationship has evolved over the years. In addition one in eight couple families with children are now considered blended. It is estimated that more than half of u s. This is resolved using lifetime interest trusts.

By judy martel when it comes to estate planning for a blended family the concept of yours mine and ours can complicate the process to the point that family dynamics become permanently strained. Estate planning for blended families blended families are increasingly common and as an advisor you ll likely have clients with children from one or more prior relationships. It presents a particular challenge for wills where everything could pass to a spouse who subsequently disinherits children. The failure to engage in such planning increases the likelihood that someone will.

Blended families are the new normal. With guidance from experienced counsel the various goals of each family can be met by crafting and implementing estate. Both her and her new spouse were widowed and had adult children. In most blended family situations each partner wants to ensure that when they die their children as well as their new love will be treated fairly and will receive as.

The modern family is more complicated and may consist of parents who are in second or third relationships. A blended family cries out for pro active estate planning. A relative of mine remarried in her 50s. Blended families are families where one or both spouses or common law partners have been in a previous relationship and have children from that relationship.

One in 10 children live in stepfamilies according to the most recent canadian census held in 2011 the first time the census has counted stepfamilies. Successful blended family estate planning is a matter of setting and communicating goals learning the available legal strategies implement ing the chosen documents and setting appropriate expec tations for the client. Apart from the day to day challenges blended families like the fictional brady s face additional hurdles when addressing their estate planning. The number of blended families is growing steadily in canada.

A real example of a blended family.