How to Estate Plan with Gifts That Are Shared by More Than One Beneficiary

March 6, 2019

Occasionally, clients ask their estate planning attorneys about how to leave behind shared gifts. This is an especially common scenario if you wish to pass along an asset to your children. Shared gifts are those that left to two or more individual beneficiaries.

Five happy smiling kids lying in line on floor. On white.

Each of those beneficiaries receives a portion of the property ownership. This is different than stipulating inside your will and other estate planning documents that you wish a particular asset to be left behind and sold while having the profits divided between the beneficiaries.

All of the beneficiaries with a shared gift instead own the property themselves. If you are contemplating leaving behind a shared gift, whether to children or to other beneficiaries, there are a few important considerations you must review first.

For example, what portion of ownership does each beneficiary receive. This should be spelled out directly in your trust. If you do not spell out the percentages of ownership available to each beneficiary, it is typically presumed by those reviewing your estate planning materials after you pass away, that you intended equal shares.

There is no reason not to go into details on this matter. Furthermore, consider who will maintain control of the property. If the beneficiaries intend not to sell it and to keep it, those beneficiaries must agree about how the handle their shared ownership.

They might wish to sell it and split the proceeds or want to keep it, but in the event that the beneficiaries are unable to agree on how to use the property, they could end up in litigation. The more you discuss your intentions to pass on this particular item of property to future generations, the easier planning will be.      


Practice Areas:



Schedule your free Exploratory phone call

Click here to see how we
can be of assistance.

Payment Portal
for Tax and Accounting invoice

This link offers a secure, quick way to complete your payment with Omni360 Advisors LLC.

Our Social Media

Connect with us on Social Media using the following buttons:

Visit our Podcasts

Listen in, Join the Conversation!

Recent Posts

Five Key Considerations for Aging in Place Safely and Successfully

Aging in place requires more than staying home. Explore five essential areas families should plan for—from safety modifications to care support and financial planning. Aging in place is often associated with independence and familiarity. Yet remaining in the home long-term requires ...

<p>The post Five Key Considerations for Aging in Place Safely and Successfully first appeared on Integrated Tax Planning, Legal Planning & Financial Planning.</p>

Lump Sum vs. Pension Payments: How to Evaluate Your Retirement Income Options

Choosing between a lump sum payout and a lifetime pension can be one of the most important retirement decisions. Learn the key factors to evaluate ...

<p>The post Lump Sum vs. Pension Payments: How to Evaluate Your Retirement Income Options first appeared on Integrated Tax Planning, Legal Planning & Financial Planning.</p>

How Markets Are Responding to the Iran Conflict — And What Investors Should Keep in Perspective

Recent U.S. strikes on Iran have increased geopolitical tension and market volatility. Here’s how energy, gold, the dollar, and equities are reacting—and why long-term investors ...

<p>The post How Markets Are Responding to the Iran Conflict — And What Investors Should Keep in Perspective first appeared on Integrated Tax Planning, Legal Planning & Financial Planning.</p>