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Splitting Parent's Estate between Husband and Wife?

I'm an only child, and my father passed away several years ago.  My mother, who is about to enter into early 80's has some savings and a property overseas. 

Whilst I don't want to appear morbid of mercenary, I was wondering if my mother had the option of leaving 50% of her estate to myself and the other 50% to my wife so that I didn't potentially breach my inheritance tax allowance if she decided to leave everything to me, as her sole beneficiary?

Comments

  • FlorayG
    FlorayG Posts: 1,597 Forumite
    Sixth Anniversary 1,000 Posts Photogenic Name Dropper
    Your mother can leave her estate to anyone she wants as long as she has a legal will. That's the purpose of a will, to distribute stuff the way you want to. You don't have to leave it to a relative
  • What do you mean by breaching your IT allowance? If you plan to leave the bulk of your estate to your wife then it is covered by spousal exemption. You can also gift to a spouse with no tax implications, so this is pretty much a pointless exercise
  • Marcon
    Marcon Posts: 12,983 Forumite
    Eighth Anniversary 10,000 Posts Name Dropper Combo Breaker
    I'm an only child, and my father passed away several years ago.  My mother, who is about to enter into early 80's has some savings and a property overseas. 

    Whilst I don't want to appear morbid of mercenary, I was wondering if my mother had the option of leaving 50% of her estate to myself and the other 50% to my wife so that I didn't potentially breach my inheritance tax allowance if she decided to leave everything to me, as her sole beneficiary?
    Your mother has the option to put anything she pleases in her will. Advice from a solicitor would be no bad idea, especially with the complication of a property overseas (which may or may not be covered by a UK will, depending where the property is located), assuming that your mother would be happy to split her estate as you seem to prefer - but is it really necessary? You could always do a deed of variation after her death, which would achieve the same objective.


    Googling on your question might have been both quicker and easier, if you're only after simple facts rather than opinions!  
  • Marcon said:
    I'm an only child, and my father passed away several years ago.  My mother, who is about to enter into early 80's has some savings and a property overseas. 

    Whilst I don't want to appear morbid of mercenary, I was wondering if my mother had the option of leaving 50% of her estate to myself and the other 50% to my wife so that I didn't potentially breach my inheritance tax allowance if she decided to leave everything to me, as her sole beneficiary?
    Your mother has the option to put anything she pleases in her will. Advice from a solicitor would be no bad idea, especially with the complication of a property overseas (which may or may not be covered by a UK will, depending where the property is located), assuming that your mother would be happy to split her estate as you seem to prefer - but is it really necessary? You could always do a deed of variation after her death, which would achieve the same objective.


    A deed of variation might be useful if you have a next generation to pass some of your inheritance to but not needed to pass some to a spouse. 
  • bobster2
    bobster2 Posts: 794 Forumite
    Sixth Anniversary 500 Posts Name Dropper
    edited 2 December 2024 am31 10:58AM
    I'm an only child, and my father passed away several years ago.  My mother, who is about to enter into early 80's has some savings and a property overseas. 

    Whilst I don't want to appear morbid of mercenary, I was wondering if my mother had the option of leaving 50% of her estate to myself and the other 50% to my wife so that I didn't potentially breach my inheritance tax allowance if she decided to leave everything to me, as her sole beneficiary?
    Individual beneficiaries don't have an IHT allowance - it is estates that have an allowance.
    If a large part of your mother's estate consists of her home - depending on how the will is worded leaving a portion to your wife (not a direct descendant) could reduce the amount of the Residential Nil Rate Band  that your mother's estate could use - actually increasing the inheritance tax liability.
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