It is not unusual for a parent in Colorado to remarry after the initial marriage ends. However, when parents remarry, it adds a new party to the list of beneficiaries. This may negatively affect surviving children in the event of their parents’ death. In fact, an attorney writing for Forbes noted that 50% of the inheritance disputes at his firm involved stepmothers.
Here are some of the many ways that the interests of stepmothers and stepchildren may collide:
Note that there are more widowed women than men in America. Widowed females total 11.2 million, while widowed men only account for 2.9 million. Men with children may need to take additional care with tying up their affairs if their last wife is not the mother of their children. While biological or adoptive mothers may feel more inclined to put the children first, stepmothers may not.
Ironically, CNBC notes that one way that fathers accidentally disinherit their children is by leaving the ex-spouse’s name on documents as a beneficiary. When it comes to the home, state inheritance laws can override even a will, allowing the property to pass to the surviving spouse rather than the children, depending on how it is deeded.
When there are minors involved, CNBC recommends a trust. Even young adults who may not have yet learned proper money management skills may benefit from trusts. Trusts may make smaller payments to them over time to reduce the likelihood of them splurging their entire inheritance irresponsibly.
Of all recommendations, communication is arguably the most important. By having an honest family conversation and conducting a proper assessment of assets, fathers can ensure that all parties receive the portions of their estate they intended.
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