The Death Readiness Podcast: Not your dad’s estate planning podcast

How to be Fair to Your Children in Your Estate Plan

Episode Summary

What happens when you give one child a house during your lifetime but want to keep your estate plan “equal” later? In this Tuesday Triage episode, Jill answers a listener question about lifetime gifts, equalizing inheritances, and how beneficiary designations can complicate even the best intentions. Through practical examples, Michigan law, and a real court case, this episode explains why documentation matters when fairness between children is at stake.

Episode Notes

What happens when you give one child a house during your lifetime but want to keep your estate plan “equal” later? In this Tuesday Triage episode, Jill answers a listener question about lifetime gifts, equalizing inheritances, and how beneficiary designations can complicate even the best intentions. Through practical examples, Michigan law, and a real court case, this episode explains why documentation matters when fairness between children is at stake.

What You’ll Learn in This Episode

• A lifetime gift to one child does not automatically count toward that child’s inheritance.
• In Michigan, when a person has a Will, this concept is called ademption by satisfaction.
• For a lifetime gift to count toward inheritance, there must be written evidence of intent.
• That writing can come from: (i) the Will itself, (ii) contemporaneous written statement by the parent, and (iii) written acknowledgment by the child receiving the gift
• Beneficiary designations override the Will, which can make equalization difficult.
• Equalization clauses in a Will generally cannot control non-probate assets.
• One strategy to allow equalization is to name the estate as beneficiary of certain accounts, bringing them under the Will’s control.
• The value of a lifetime gift is typically measured when the recipient receives it, not at death.
• Appreciation and the time value of money can make “equal” distributions feel unequal later.
• Clear documentation helps prevent family conflict and litigation.

Resources & Links

Sample provision equalization clause: https://drive.google.com/file/d/1sl10acDgZ9hxhwxJGHO17NYbB9DE633A/view?usp=drivesdk

Episode 59: Why Selling the Lake House Can Rewrite Your Will: https://www.deathreadiness.com/podcast/59

Connect with Jill:

• Website: DeathReadiness.com
• Email: jill@deathreadiness.com
• Learn more about Jill’s services
• Subscribe to the Death Readiness Dispatch!
• Submit a question for Tuesday Triage

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