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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Inheritance split - how to split when siblings have different numbers of children

447 replies

Benja1405 · 08/06/2022 15:22

Divorced parent died - two married sons in will, one has 3 children and one has 2. What do you feel is the fairest way for the estate to be split? Lawyer thought straight 50/50 between the two sons. Son with 3 children thinks 55/45 in his favour is fairer as he has more children. AIBU to think that this is unfair on the other son? Just interested in views, thanks.

OP posts:
Femalewoman · 09/06/2022 15:19

Whatever the will says. If no will then the legal requirements are laid out and that should be followed. You cannot just do whatever you decide between you since the individual is already dead.

Itloggedmeoutagain · 09/06/2022 15:52

HMG107 · 09/06/2022 14:31

I’m in this situation. There is no will and I’m the only sibling with a child. I felt a fair split was 30% each sibling and then 10% to the grandchild - both of my siblings has said no and I this has hurt.

If you want to give money to your child you give it to your child. But it comes out of your share! Not your siblings.

VanGoghsDog · 09/06/2022 15:59

JinglingHellsBells · 08/06/2022 19:38

@VanGoghsDog I'm sorry but you are still wrong. It isn't that you didn't ' go into as much detail' but that you contradicted a poster by insisting anyone could give away any amount of money( and there would be no financial consequences for the recipient.)

That's more than a 'detail'!

Currently, some relatives of mine are going through this exact process as part of inheritance planning with a FA.

Their estate is worth well over the IHT limit (talking £1m+) and they are gifting their children £3k pa to reduce the IHT due on their estate(eventually.)

The clock starts ticking the moment any money above that amount is gifted. If it's under 7 years when the last parent dies, it is counted as part of the estate. (You are right there.)

So, tax will be paid on it if the estate falls into the IHT band.

The recipients have to declare any monies received.

Nope. That's not what I said and you are not right.

The recipients do declare it at the death (the executor has to check the accounts) but they DO NOT pay the tax, the estate does. Unless there is not enough money left in the estate.

Just because you are making these plans with your FA doesn't mean you've got the correct information.

www.gov.uk/inheritance-tax/gifts.

I also did not say there would be no financial consequences for the recipient. I merely said anyone can gift any money to anyone and the Revenue does not oversee this (they do not - until accounts are submitted on death, but it is true they do not "oversee gifts"). My first post in this thread was entirely correct. My later post I explained, correctly, that the estate pays the tax, not the recipient, unless there is not enough money in the estate (and a lot would have had to have been gifted for that to be the case). As the screenshot and link confirm.

And you absolutely do not need a solicitor for a deed of variation (which I have not "muddled up" at all) which is what you suggested when you said "perfectly legally, through a solicitor".

Inheritance split - how to split when siblings have different numbers of children
HMG107 · 09/06/2022 17:09

@Blossomtoes @PurpleDaisies @SirChenjins @Johnnysgirl @Itloggedmeoutagain @SmartCarDriver @MrsTerryPratchett

It would have been amazing if they had suggested we all had an equal share but unfortunately they have no interest in my well-being.

In the days after the death I was asked to give 100% of my inheritance to sibling 2 as the other sibling and my remaining parent wanted her to live rent/mortgage free. Sibling 3 lives rent free with the remaining parent, they have no plans to move out and the remaining parent has already stated that sibling 3 will inherit their house. I am financially responsible for a mortgage (22 years left on the term) and a child.

I actually agreed to giving away all of my inheritance as I didn't want to argue over money and am used to them behaving appallingly. It was only after two more weeks of suggestions where I gave away most of my inheritance that I finally suggested the 4 blood relatives are the only ones who are included with 90% going to the siblings and 10% to the grandchild. I wouldn't have received more than my siblings, the money wouldn't have been my daughter's. However, even though they behave atrociously there is the expectation that I will be burdened with sorting out the final siblings funeral and clearing where they live. When I was gifting my inheritance to sibling 2 she let slip that if she was to die I wasn't going to be included in her will so it's all take from them with no give.

I think this is the point where I walk away for good.

Johnnysgirl · 09/06/2022 17:11

Well that's quite the drip feed 🤣

Blossomtoes · 09/06/2022 17:14

Johnnysgirl · 09/06/2022 17:11

Well that's quite the drip feed 🤣

Isn’t it? I’m sorry @HMG107, that’s shit. 💐

Popatop · 09/06/2022 17:52

Absolutely 50/50 that’s how many children he had. How many grandchildren is irrelevant.

SirChenjins · 09/06/2022 17:59

@HMG107 goodness Shock that sounds awful

Buttonjugs · 09/06/2022 18:11

The inheritance should be divided equally between the siblings. It doesn’t matter how many children they have, it’s irrelevant.

LoisLane66 · 09/06/2022 18:13

50/50

Plunger · 09/06/2022 18:14

What if son with 2 children went on to have triplets after parents death or even before? Would other son be happy splitting it according to number of children they have? Think not! 50/50 split the only fair way.

Gilld69 · 09/06/2022 18:23

50 /50 I had 3 kids my brother had none , my will is divided between my 3 kids they can decide what to give their children

missdemeanors · 09/06/2022 18:23

It beggars belief that unless there's a really extreme situation (eg one child having severe disabilities and needing some kind of expensive care) that any loving parent could do anything other than split things equally. It just seems so fucking awful to treat your children in any other way. As for 'rewarding' those who breed... WTAF?

Fudgemonkeys · 09/06/2022 18:26

50/50 then each son can decide what to give if any, to their own children.

Londoner01011 · 09/06/2022 18:32

You are right, it would be unfair on the other son. The inheritance is to the sons, not the grandchildren. I have no children but my parents split their estate 50/50 between me and my sister, who has two children and not nearly as much money as I do (I've always worked, she has not). I then chose to gift some of it directly to my neice and nephew BUT that was my choice. If my parents had left more to my sister because she'd had children, I would have felt they were judging me for not having children or for being successful. Equal splits between the direct sons.

Getoff · 09/06/2022 18:34

Since the person has already died, it's irrelevant what anyone thinks. The will/law says where the money has to go, no-one, not even the lawyer, has any choice in the matter.

If someone who is due to receive money wishes to give it away, they can. In that case it's only their opinion that matters.

JudgeJ · 09/06/2022 18:36

BarbedButterfly · 08/06/2022 15:23

50/50

Definitely 50/50, why should one lose out because they haven't procreated as much? How would a childless sibling be dealt with? Presumably they have had more from their parents oever the years in the way of Christmas and birthday presents.

Sue2704 · 09/06/2022 18:38

I helped my aunt sort her will. She did an amount to each of the children (2500) then the balance 50/50. We all thought that was nice.

Redshell1976 · 09/06/2022 18:39

50-50. Immediate heirs are the sons not the grandchildren.

Wheresmywoolyjumpers · 09/06/2022 18:40

50/50 - kind of wankerish to expect preferential treatment because you decided to have more kids.

itsjustnotok · 09/06/2022 18:40

50/50. He then makes provision for his children.

THEDEACON · 09/06/2022 18:41

Definitely 50/50 between the sons

BakewellGin1 · 09/06/2022 18:42

50 50 between two sons... Its then up to them how or if they distribute any money amongst their own children

QueenBee70 · 09/06/2022 18:43

50 / 50 . The money has been left to the two siblings not their offspring . Presumably the will states this .

Wheresmywoolyjumpers · 09/06/2022 18:47

Also wanted to add - if you are talking about fairness, do you also look at who has supported the parents more? In that case, I bet a lot of childless people would get far more than their sibs who have their own families and therefore are too busy to do stuff to support aging parents? That would be a total can of worms.

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