Sibling disputes often erupt after a parent dies and when it’s time to divide up the assets of an estate. These fights can result in♎ lengthy and exp൩ensive legal actions. They can also damage family relationships.

However, a little forethought from parents can prevent such disputes. And siblings c🐻an rise to the occasion and employ basic strategies to stop arguments b⛄efore they start.

🔯Consider the following ideas to avert or resolve conflicts.

Estate Planning Steps for Parents

Careful estate planning before death can address many of the💟 issues that might otherwise arise after a parent dies. Perhaps the most important action a parent can take is to have a will that specifies the property that each child shall receive. A parent can spell out who inherits their assets, such as money, a house, a business, valuable artwork, or jewelry.

Will

The specifics of who inherits what can be 澳洲幸运5官方开奖结果体彩网:spelled out in a will. Alternatively, a parent can direct that the house be sold and ♓the proceeds divided evenly among s💜iblings.

If a parent wants to leave 澳洲幸运5官方开奖结果体彩网:one sibling out of the will, this is legally permissible. There is no rule against disinheriting a child. However, to avoid legal challenges by a disinherited child, a parent shou𝓰ld consider discussing the matter with the child prior to death or explaining in the will the reason for the action.

Trust

Another good practice is to use a trust to specify property dispositions after death. A parent can make a 澳洲幸运5官方开奖结果体彩网:revocable trust that can be changed at any time up to de🉐ath, assuming the parent remains competent.

Title

Putting property in the joint name of a parent and child so that the asset passes automatically t❀o the child w🃏hen the parent dies is another way to avoid conflict. This can be done, for example, for a bank account, brokerage account, or real estate.

Independent Executor

Using a non-sibling executor or trustee for the estate can also help keep the peace. A third party who does not ꦓstand to gain from any💧 decisions regarding property distributions may be a good idea, particularly if a parent believes there could be sibling disputes after they die.

Parents Can Divide Up Family Items

Disputes over possessions after a parent dies—artwork, books, a watch, sports equipment such as golf clubs, even old furniture—can cause bad feelings within the family which can persist for years. A wise parent who anticipates that siblings may quarrel over household items once they're gone can take specific steps to thwart problems.

Give Gifts During Your Lifetime

A parent may want to disburse certain items before they die so that they can see a child's enjoyment and gratitude. This action can help prevent bickering over the property after the parent dies. For example, a mother who has two daughters might give both of them rings, bracelets, and necklaces, perhaps as birthday or holiday gifts.

Similarly, parents with sufficient financial assets mꦕay wish to give gi🍸fts of money to their children over a number of years.

Gift tax exclusion: In 2024, the annual gift tax exclusion is $18,000. This means that tax filers can give away up to $18,000 per person without paying tax on those gifts.

Items of greater value require that a gift tax return be filed. This may entail the payment of gift taxes by the parent.▨

Tag Items

Labeling items sought by children with the names of those who will receive them can be helpful. The label should name the sibling who will inherit the item after the parent dies. While the tag does not represent a legal document indicating 🐠that th🦂e sibling receive the item, it is indicative of the parent’s intent and may help prevent sibling spats.

Write a Letter of Instruction

A 澳洲幸运5官方开奖结果体彩网:letter of instruction can be written by the parent outlining who gets wha꧒t. Again, the letꦜter is not legally binding but serves as a roadmap to the parent’s wishes regarding their property.

Have Siblings Take Turns Choosing Items They'd Like

Using this strategy, each sibling picks a desired item. For example, three siblings, Jude𝔍, River, and Charley, have strong feelings about what they want. To prevent any fights among the siblings, let Jude (the oldest) pick one item, and then River (the 🍷middle child) can make a selection, followed by Charley (the youngest). Continue selections in this order until all of the desired items have been claimed.

Use a Lottery

Write a brief description of each item that all of your children want (e.g., grandmother’s photo in t♛he silver frame) on a slip of pa▨per. Put the slips in a hat. Then have the siblings take turns drawing the slips until the hat is empty.

What to Do After a Parent Dies

If a parent did not take action before death and there is a possibility of problems concern꧃ing the distribution of assets, it’s not too late to preserve sibling harmony or at least to minimize strife.

Use a Mediator

When there is a serious problem involving a family business, a professional mediator can help. Gathe💎r all the siblings together and work with the mediator to reach a 🍃consensus.

Liquidate Assets

When siblings lay claim to the same assets a🐎n🅠d cannot agree, one option is to sell the assets and split the proceeds evenly among them.

Defer to an Independent Fiduciary

Siblings can decline their appointment as executor or trustee so that someone else can be the 澳洲幸运5官方开奖结果体彩网:fiduciary and make decisions on asset distributions.

If a sibling is named as the executor, trustee, or personal representative, they need to formally decline the appointment. This step should only be taken if the siblings agree on the appointment of the person who will act as executor. This person could be a family member, an attorney, a CPA, or a bank’s trust departm🦹ent. Importantly, the estate must be able to afford to pay for this service.

The Bottom Line

Parents usually know whether their children are likely to fight over their 澳洲幸运5官方开奖结果体彩网:inheritance and should take action while🐠 living to prevent conflicts after their death.

Whatever a parent decides, they should review their decisions from time to time. Feelings among siblingsꦍ and financial circumstances can change, and plans should🍌 be revised accordingly.

If steps are not taken before a parent's death, you can still use strategies to minimize conflict during the estate settlement. Consult with a lawyer to decide the best course of action. And be sure to write a will yourself so that you maintain control over how your assets are distributed.