I believe I am well-off enough from a retirement perspective.
I was considering asking my Father to change his will so my children would get his inheritance instead of me. Skipping me.
To simplify the question:
- I'm asking about things that pass via a will
(Some things like life insurance don't)
- No perceived need for a trust for the children
- I will be alive when my Father dies, and will not contest it.
- Just Federal considerations (since states vary)
- This is to help me plan before talking to a $/hour attorney
(who will write a state-specific will)
His estate may or may not be above the threshold for Federal taxation at the time of his (future) death.
Are there reasons which indicate my Father should not do this?
I don't see any (good) reasons, but I know just enough about law to know that when I think something is obvious... it often isn't.
I'm interested in hearing about things that I should think through because they are either likely or they are unlikely but have big negative consequences.
For example I heard years ago that there could be absurdly large (50%+) additional taxes, but even if that were correct (then) the tax laws have likely changed a number of times since I heard this.
Or perhaps it is a big deal if I die before he does?
(I have no reason to expect this)