Many beneficiaries expect an estate plan to be roughly equal. This is especially true for adult children. For example, four siblings may naturally assume that they will all receive roughly 25% of their parents’ estate.
However, it’s important to remember that estate plans do not have to be equal. Some reports indicate that unequal bequests are becoming more common. There is absolutely no obligation for the estate plan to treat everyone “fairly,” so making assumptions about expected distributions can be problematic.
To a large degree, this is why it’s often wise for parents to talk with their beneficiaries and adult children in advance. When the estate plan doesn’t match their expectations, it can cause significant problems.
Estate disputes are more likely
Perhaps the biggest issue with unequal bequests is that they increase the odds of an estate dispute. A sibling who receives less than other family members may believe the outcome is unfair and doesn’t reflect their parent’s true intentions. They may accuse their siblings of using undue influence, for example.
Often, these disputes come down to claims made by the beneficiaries, such as saying that a parent told them they would receive certain assets that they then did not receive in the estate plan. It can be difficult to sort out these complicated situations, especially if there’s a large discrepancy between what a beneficiary believes they were going to receive and what they actually did receive in the estate plan.
If you and your family members find yourselves involved in such a dispute, be sure you know what legal steps you can take to navigate this delicate process.
