My husband and I are both in our mid-60s and both retired. We want to put a living trust together. My husband has two daughters (and two grandchildren) from his previous marriage. I have no children of my own, but have a sister and nieces and nephews. My husband feels that his daughters should receive two-thirds of our estate, and my family (nieces and nephews) should divide the remaining one-third. In your opinion, do you think this is fair? I feel that I have contributed as much as he has over the years and that it should be a 50/50 split. I hope you are able to give your opinion. I can, and I will: I’m on your side, if you feel that you’ve each contributed equally to the property you’ve accumulated together during your marriage. If you lived in a community property state, that’s how you’d have to divide your assets: 50/50. But it’s not easy to discuss equity with a spouse, and he may feel that his children ‘deserve’ more somehow than your nieces and siblings. Still, it’s worth working it out together so that your estate plan reflects your wishes, rather than state default rules, which will kick in if you die without a plan at all. Maybe if you work with a compassionate and wise attorney (honestly, there are some….) he or she can help you two to articulate your views and come to a fair resolution.
Tag Archives: community property
Dear Liza: My brother died recently. He owned community property with his Wife. Is she now responsible for his debts?
Most likely, yes. In community property states, debts incurred during the marriage are the responsibility of the community. So, after the death of a spouse, the surviving spouse is liable for those debts. I can’t tell from the question whether or not your brother lived in a community property state, or in a state with common law rules, and signed an agreement making their property community. If so, it depends on what that Agreement actually says–sometimes Agreements specifically keep debt separate.
The community property states are Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin. (In Alaska, spouses can sign an agreement making their assets community property, but few people choose to do this.) The common law states are everywhere else. Nolo has a great article on this: “Debt and Marriage.” Here’s a helpful excerpt :
In states that follow “common law” property rules, debts incurred by one spouse are usually that spouse’s debts alone, unless the debt was for a family necessity, such as food or shelter for the family or tuition for the kids. (These are general rules; some states have subtle variations in how they treat joint and separate debts.)