Lincoln & Wenk, PLLC
View Blog Navigation

Inheritances can last generations with proper planning

Like other young Arizona families, you might not think that you need estate planning yet. Wills and trusts are just for older people, right?

Actually, estate plans are for every adult, and become crucial if you have children and will inherit significant assets from your parents. Providing for children is often a big motivator for people to create estate plans, and parents want their kids to receive the greatest benefit from their inheritances, which means that reducing or eliminating taxes is important as well.

Keep three things in mind when considering multi-generational estate planning

In order to know what assets will be available to pass on to your children, you need to know the following:

  • What assets constitute your estate now and in the future
  • What you will inherit from your parents
  • How your parents' estate plans are structured

In order to get the big picture, you are going to have to plan a serious discussion about the future with your own parents.

Why is it so important to know what my parents have planned?

Understanding how your parents have structured their estate plans can have a direct effect on how you structure yours. Consider the following two scenarios if you will inherit your parents' estate directly:

  1. If you have enough of your own wealth, you could structure you estate plan to pass on the assets of your parents to your children. You could refuse your inheritance by executing a qualified disclaimer, which alleviates the tax burden for you from your parents' estate. If your parents name your children as successor beneficiaries, the assets would then pass to them.
  2. If you decide to use your inheritance to provide for you and your family, you could continue to build your own wealth to pass on to your children.

In either scenario, you are providing for your children. The question is which option will provide the most benefit and least tax liability to you and your children.

How do I talk to my parents about this without sounding greedy?

Regardless of how you approach the subject, diplomacy is essential. No matter how close you are to your parents, they might be hesitant to discuss their financial situation with you at first.

If you let your parents know that you and your spouse are creating estate plans and want to be sure that they are structured to provide the most benefit to your children, they might be more willing to discuss their finances and estate plans with you.

You could ask them to be a part of your discussions with an estate-planning attorney so that he or she can offer you the best options for your circumstances. Every family is unique, and the more information your attorney has regarding the entire financial picture, both current and future, the more tailored your plans can be.

No Comments

Leave a comment
Comment Information
  • Super Lawyers
  • 2015 ARAG | Elite Service Provider
  • AV | Peer Review Rated for Ethical Standards & Legal Ability | Preeminent | Martindale-Hubbell from LexisNexis
  • American Association for Justice | Formerly the Association of Trial Lawyers of America (ATLA)
  • Arizona Association of Family Law Attorneys - AZAFLA
  • Lincoln & Wenk, PLLC BBB Business Review
  • Association of Top 100 2019 | American Trial Lawyers
  • American Academy Of Trial Attorneys | AATA | Premier 100 | 2015
  • Family Law | Top 10 | Attorney And Practice Magazine's | 2018 | Attorney
  • Top Valley Lawyers 2017 | North Valley Magazine
  • American Institute of Family Law Attorneys | 10 Best 2017-2018
  • Veteran Owned Business - A Registered Vetrepreneur on Buyveteran.com - 2014
  • Avvo Top Attorney
  • Avvo Client's Choice
Email Us For A Response

Need legal help from an attorney?
Contact us now to schedule a consultation with our lawyers

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Goodyear Office:
1616 North Litchfield Road
Suite 140
Goodyear, AZ 85395

Phone: 623-748-4890
Fax: 623-536-1984
Goodyear Law Office Map

Peoria Office:
14050 N. 83rd Avenue
Suite 290
Peoria, AZ 85381

Phone: 623-748-4890
Fax: 623-536-1984
Map & Directions

Phoenix - Desert Ridge Office:
20830 N. Tatum Blvd
Suite 210
Phoenix, AZ 85050

Phone: 623-748-4890
Fax: 623-536-1984
Phoenix Law Office Map