Blended Families:

In today’s day and age, the nuclear family is only one of a number of family arrangements. Unless an estate is reasonably simple, expert taxation or estate and financial planning advice should be considered. The will is one part of an estate plan, an important step in the strategic pattern aimed at preserving the family fortune in days of changing taxation rules, interest rates and inflation. A blended family is a family in which the testator presently has a spouse or partner, and also has children from another relationship. If a testator who was previously in a marriage or partnership and has children of that marriage or partnership enters a new marriage or partnership, the drafting of that testator's will may be delicate and complex. Taking counsel from a Wills and Estates Lawyer at one of our law firms to obtain proper legal advice regarding estate planning for your blended family may be beneficial and informative in this regard.

Blended families are sometimes complex, for example, there may be more than one former partner, and there may be children of more than one former partner. Where the relationships are complex, the will drafter must understand the family structure exactly, and to this end should consider preparing a family tree. If you have a blended family, additional consideration should be placed on a proper estate planner as the legal framework may not provide all the protections that you desire. Fundamentally, an estate plan should do a number of things. It should create an ordered, secure, yet simple and flexible overall regime for your affairs, for the present and the future. It should be administratively simple to operate, and it should not be unreasonably expensive to maintain. The will should be seen as an integral, and indeed essential, part of the overall estate plan, and should fit comfortably with the other parts of the plan. A will should not be drafted in isolation from your whole financial situation and goals.

The estate plan should provide scope for building up the assets during your life. It should be designed with due regard to the use of superannuation and life insurance as tools for building up or preserving estates and providing for the testator and her or his family and beneficiaries. It should be take advantage of all available tax concessions and deductions even after death.

Proper Estate planning strikes a suitable balance between enjoyment of property and income during life, and the preservation or creation of capital for your family upon death. It should recognise, take account of and as far as possible, balance the claims and needs of persons affected by the plan. It should provide for a comfortable and secure retirement for the testator and her or his spouse or partner. It should provide for children of the current relationship. It should provide for the children in accordance with your wishes, such as from former and current relationships. If desired, the estate plan can provide for charities and foundations. Also, the plan should not have unforeseen adverse effects on the claims of persons who might be entitled to social security benefits. The plan should include a testamentary discretionary family trust in situations where the family should be offered tax-effective benefits or where there is a need to protect and preserve estate assets.

If you need further legal advice on your wills and estate planning matter, you may book an appointment with us by telephone on (02) 9233 4048 or send an email to info@navado.com.au. 

This webpage (and any material or wording appearing on this webpage) is provided for general information purposes only and does not constitute any Legal Advice. It does not take into account your objectives, your instructions or all of the relevant facts and/or circumstances. Navado accepts no responsibility to any person who relies on the information provided on this website. We further refer you to our Disclaimer.