Friday, October 4, 2024
People Without Kids Are Leaving Money to Surprised Heirs
As childlessness becomes more common, especially among older generations, many estates are being inherited by distant relatives, charities, or even pets. Without children to pass on their wealth, many individuals, particularly those without wills, unintentionally leave their assets to extended family members they may have little contact with. This trend has led to what estate planners call "laughing heirs," who unexpectedly receive inheritances.
Childless individuals are also more likely to leave their money to causes and friends. Some people, like Kelley Gilpin McKeig, who inherited money from a distant cousin, are prompted to create or update their wills to ensure their assets go to those they care about. Pets, too, are becoming common beneficiaries, with people like writer Rebecca Fornwalt and financial coach Susan Lassiter-Lyons leaving provisions for their animals in their estate plans.
A significant concern for childless individuals, beyond inheritance planning, is ensuring they have support in old age. Without children to rely on for help, such as medical care or daily tasks, many wonder who will assist them as they grow older. Financial advisors stress the importance of planning for both retirement and care needs, and of choosing executors who will honor their wishes.
For more information see Tali Arbel "People Without Kids Are Leaving Money to Surprised Heirs,"The Wall Street Journal, October 2, 2024.
Special thanks to Joel C. Dobris (Professor of Law, UC Davis School of Law) for bringing this article to my attention.
https://lawprofessors.typepad.com/trusts_estates_prof/2024/10/people-without-kids-are-leaving-money-to-surprised-heirs.html