Why Your Spouse Won’t Inherit From You
Did you know that your spouse won’t automatically inherit everything from you? That’s because in Louisiana, if you die without a will, the first in line to inherit are your children, not your spouse. Yes, all biological and adopted children inherit before anyone else. That could leave a surviving spouse owning their home with their children and stepchildren. For simplicity, this article uses the example of the husband dying first. But keep in mind, the information is the same no matter who dies first.
INHERITANCE DOES NOT ALWAYS MEAN OWNERSHIP
It’s not always true that a surviving spouse inherits everything and she can do with it as she pleases. What she will inherit is use of everything she and her husband own together, but not ownership of it. If she wants to do anything significant with her home, she’ll have to first get permission from her children and stepchildren, or her grandchildren if there is a deceased child or stepchild.
A surviving spouse inherits some limited protection in that she will be able to stay in her home and use the money in the bank, but she does not own either alone. She does not have full control. And guess what? If she remarries, she loses her right to use whatever her deceased husband left behind. The children and stepchildren could demand she buys them out.
WHAT HAPPENS IF A COUPLE DIES WITHOUT A WILL
Louisiana is a community property state, which means a married couple owns just about everything half and half. If the husband has four children and he dies first without a will, ownership of all community property assets will look something like Illustration No. 1.
And if the wife has two children and she subsequently also dies without a will, ownership of all community property assets the couple leaves behind will look something like Illustration No. 2.
Whether or not this couple has children together, the outcome is the same. People who are not related by blood, who may or may not even like each other, end up owning property and money together. Imagine the confusion that ensues when everybody has differing opinions about what should happen with that property and money.
CREATE YOUR OWN ESTATE PLAN TO PROTECT YOUR SPOUSE AND YOUR CHILDREN
Whether or not you and your spouse have the same children or different children from previous relationships, if you don’t like the estate plan Louisiana has established for you, you must create your own estate plan. Even if you don’t want your spouse to inherit everything, you can use powers of attorney and a will to protect him or her from being vulnerable and exposed to the whims of disagreeable, uncooperative children or stepchildren.
If you want your spouse to have more protection and control, then give your family clear instructions about how you want things handled, who you want in charge and what you want to happen if you suddenly become seriously ill or die. To ensure calm waters during emergencies, illnesses, and death, get serious about having your powers of attorney and a will prepared.
NEXT STEPS
Get your copy of my free guide Getting Your Affairs in Order. You’ll learn how being prepared and planning for emergencies, illnesses, and death will put you and your family in control during difficult times. It also includes a worksheet to help you get started right away and a checklist to inspire you to get it done.
You can schedule a call. Consulting with an experienced legal professional is an educational opportunity for you to gain knowledge, insight, and clarity so you’ll know where you stand. I will help you assess your situation and answer all of your questions. Plus, you will find out more about me and how I serve my clients so you can decide whether you would like further assistance in getting your affairs in order.
