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Fair isn't equal. Why families fight over estates and how to end it
USA Today • • business
Key Points:
- An estimated $124 trillion in assets will transfer from older to younger generations over the next two decades, but this "Great Wealth Transfer" may trigger significant family conflicts due to emotional complexities tied to inheritance.
- Research shows one-third of adult children expect sibling conflicts over inheritance, with disagreements often stemming from differing views on fairness, entitlement, and timing of asset distribution between parents and children.
- While 71% of parents plan to divide assets equally, only about half of children prefer equal splits, favoring distributions based on need or merit, which can fuel tensions and disputes.
- Many adult children prefer receiving financial help earlier rather than a larger inheritance later, but most parents are reluctant due to concerns about their own financial security and long-term care costs.
- Experts recommend open communication about inheritance plans and financial concerns to reduce misunderstandings, and suggest family therapy after a parental death to address unresolved emotional issues and prevent lasting rifts.
