Month: March 2026

Navigating inheritance planning in second relationships can feel like walking a tightrope. When you’ve rebuilt your life after loss or divorce, the last thing you want is a battle between families over your legacy. Yet, conversations about who gets what, especially when it comes to the family home, can create tension and uncertainty.

Many people find themselves torn between wanting to provide security for a new partner and protecting assets for their children. Without clear plans, this can quickly lead to confusion and conflict. Here’s how you can approach inheritance planning in blended families to protect your loved ones and avoid costly disputes later.

Clarify Your Priorities Early

Before you make any decisions, get honest about what matters most to you. Are you determined your children inherit the family home? Do you want your partner to feel secure, with a place to live if you pass away? Understanding your own values helps you set boundaries and make decisions that align with your wishes.

Open, early conversations prevent misunderstandings down the line. If you avoid these talks, your loved ones are left to guess your intentions; and that’s when disputes erupt.

Know the Legal Risks for De Facto Partners

In Australia, de facto partners (those living together in a relationship, but unmarried) have certain legal rights if one partner dies. Even if your will leaves everything to your children, a partner may be able to challenge the estate through a family provision claim. Courts will consider whether they were adequately provided for, especially if you shared a home or costs.

This doesn’t mean your partner will automatically inherit your house, but it adds a layer of risk if your wishes aren’t clearly documented.

Consider Life Interests and Right to Reside Arrangements

One practical solution is to grant your partner a ‘life interest’ or ‘right to reside’ in your home. This allows them to stay in the house for a set period, or for life, but ultimately ensures ownership passes to your children. It’s a way to offer security without compromising your family’s inheritance.

• Set clear terms: How long can your partner stay? Who pays for upkeep?
• Communicate the arrangement to all children and step-children to avoid surprises.

Define Separate and Shared Assets

It’s essential to distinguish between assets brought into the relationship; and what’s built together. If the home was purchased with your late spouse and you want it to go to your children, document this clearly. For joint assets accumulated with your new partner, discuss openly how you both want to handle them.

Get Professional Estate Planning Advice

Estate planning for blended families is rarely straightforward. Testamentary trusts, structured wills, and legal advice can help balance everyone’s needs. A qualified financial adviser can help you:

• Structure your will to reflect your wishes
• Anticipate and minimise legal risks
• Communicate plans to all parties involved

Experts recommend documenting everything and updating plans as circumstances change.

Resources to explore:

• Find a trusted financial adviser through Vanessa’s network at https://vanessastoykov.com.au/financial-advice/
• General money and estate planning resources at https://moneysmart.gov.au/
• Explore estate planning basics with your super fund’s advice services (no link)

The Bottom Line: Courageous Conversations Matter

It’s never easy to talk about death, inheritance, or the risk of family conflict. But these are the conversations that protect your loved ones from far more pain down the track.

Clarity gives everyone peace of mind; and ensures your wishes are honoured. Don’t leave your future, or your family’s, to chance. Start the conversation, get the right advice, and set your loved ones up for a better, fairer future.

---

---

Vanessa Stoykov | Courageous Conversations About Money

Most families don’t think about aged care until they’re suddenly in the middle of it.

It usually starts with small things. A parent forgets something they wouldn’t normally forget. Stories get repeated. Things feel a little… off. You notice it, but life is busy, and it’s easy to brush aside.

Over time though, those small changes can build into something more serious.

In Australia, almost half a million people are living with dementia. For many families, the shift happens gradually — until there’s a moment where it becomes impossible to ignore. Often it’s when everyone comes together, maybe over Christmas or a family event. You see Mum struggling with things she used to do easily, or Dad seems confused in conversations that would once have been simple.

That’s when it starts to feel real.

From there, things can move quickly.

Each year, tens of thousands of Australians enter residential aged care, but there simply aren’t enough places to meet demand. Families are often left scrambling, trying to find suitable care while their loved one may already be in hospital waiting for somewhere to go.

By the time many people realise full-time care is needed, they’re already under pressure.

And that’s when the questions hit — all at once.

Do we need to sell the home?
Is everything set up legally?
Who can make decisions if Mum or Dad can’t?
How are we going to pay for this?

Alongside all of that comes the emotional weight. There’s no way around it. Guilt, uncertainty, second-guessing. Even when families know it’s the right step, it rarely feels easy.

I’ve worked with families going through this, and one situation that stands out involved a client who was still trying to live independently while quietly declining. From the outside, everything seemed fine. But when the family stepped in, they uncovered unpaid bills, missed responsibilities, and a home that had become difficult to manage. It had been building for some time without anyone fully realising.

This kind of situation isn’t unusual.

The aged care system itself is also under increasing strain. Costs are rising, availability is tight, and more responsibility is being placed on families — particularly those with assets — to contribute to the cost of care.

But one thing I always say to families is this:

You don’t have to wait until something goes wrong.

The families who navigate this best are the ones who start thinking about it earlier. Not when there’s a crisis, but when there are early signs that something might be changing.

It can be as simple as paying attention.

Are things being forgotten more often?
Are bills slipping through the cracks?
Is day-to-day life becoming harder?

If something doesn’t feel right, it’s worth having a conversation sooner rather than later.

Getting the right advice early can take a huge amount of pressure off. It helps you understand what the options are, what the costs might look like, and how to structure things properly so you’re not making decisions in a rush.

More importantly, it allows families to focus on what really matters — supporting their loved one.

Because at the end of the day, this isn’t just a financial decision. It’s a family one.

And having a clear plan in place can make one of life’s hardest transitions just that little bit easier to manage.

---

About Mark

Mark is a local financial adviser, raised in a small mining town and

shaped by years working in power stations and coal mines. His background gives him a genuine understanding of the financial pressures many families face.

With over 15 years in financial services, he founded Wollemi Wealth Management in 2013 — a business built on trust, long-term relationships, and word-of-mouth referrals.

Mark specialises in helping families navigate aged care, providing clarity and reassurance during what is often an emotional and complex time.

When a marriage ends, emotions run high; and money issues often make things even more complicated. If you’ve recently separated and received an inheritance, you’re probably wondering what happens next. Is your ex entitled to a share? How do you protect what your loved ones left you? Understanding the rules and taking action early can make all the difference for your financial wellbeing.

1. Understand How Inheritance Is Treated in Divorce

In Australia, inheritance is often treated differently from assets accumulated together during marriage. The law recognises that an inheritance is a financial contribution from one side of the family. Timing is crucial, if you receive an inheritance after separation, it’s much less likely to be split 50/50. However, it may still be considered as part of your total financial position when dividing assets.

It’s a common misconception that inheritance is always protected. While it’s often kept separate, courts can use their discretion to decide what is fair, particularly if the inheritance has been mixed with joint assets or used for shared expenses.

Real-Life Example:

Lisa, 56, inherited $80,000 from her mother a year after separating from her husband. She kept the money in a separate account, but her ex argued it should be included in their property settlement because they were still legally married. The court considered the inheritance as part of Lisa’s financial position but ultimately allowed her to retain most of it because she had not mixed it with joint finances.

How to avoid this mistake:

• Keep inherited funds separate, avoid using them for joint expenses or transferring them to shared accounts.
• Document timing and usage, keep clear records showing when the inheritance was received and how it has been used.
• Seek legal and financial advice early, specialists can guide you on the best steps to protect your assets.

2. Don’t Delay Finalising Your Financial Settlement

It’s natural to want space after a separation, but waiting too long to legally finalise your finances can open the door to complications. Any assets acquired, yes, even after you’ve split, can be considered when dividing property if you’re still legally married.

Leaving things unresolved can make a difficult situation even more stressful. The longer you wait, the more likely it is that new assets (like an inheritance) become part of the conversation.

Real-Life Example:

Margaret, 60, separated from her husband but waited nearly two years to settle their assets. In that time, she received an inheritance and bought a small investment property. During settlement, both the inheritance and the property were included in negotiations, making the process contentious and emotionally draining.

How to avoid this mistake:

• Start the property settlement process as soon as possible after separation.
• Consult a family law specialist, they can help you understand the time limits and your rights.
• Be proactive, the sooner you act, the more control you have over your financial future.

3. Don’t Assume Your Ex Has an Automatic Claim

Just because your former partner believes they’re entitled to your inheritance doesn’t mean the law will agree. Every situation is assessed individually, considering factors like the length of the marriage, current financial positions, and how assets have been managed.

Courts aim for fairness, not automatic division. Inheritances received after separation are often treated as belonging to the recipient, but may still influence the overall settlement.

Real-Life Example:

Sarah, 52, faced pressure from her ex to split an inheritance she received post-separation. With advice from a qualified financial adviser, she was able to demonstrate her inheritance had not been merged with joint assets and ultimately retained it as her own.

How to avoid this mistake:

• Don’t make agreements based on threats or pressure. Get clear, professional advice before making decisions.
• Keep written records of all communications and legal documents.
• Understand your rights, knowledge is your best protection.

4. Get the Right Advice, Don’t Go It Alone

Family separations and inheritance issues are complex, both emotionally and financially. Trying to navigate them without expert support can leave you vulnerable. Specialists can help you protect your interests and avoid costly mistakes.

Resources to explore:

• Find a trusted financial adviser who understands your situation.
• Visit MoneySmart for clear, jargon-free information on separation and finances.
• Connect with a family law specialist for tailored legal advice.

Empowerment: Take Control of Your Financial Future

Inheritance can be a lifeline; and a legacy. Protecting it is not about greed; it’s about honouring your family’s wishes and building your own secure future. With the right advice and timely action, you can make sure your inheritance supports your next chapter, not someone else’s.

You deserve clarity, security, and peace of mind, especially after a difficult separation.

---

---

Vanessa Stoykov | Courageous Conversations About Money

Losing a parent is hard enough. Discovering you may be left out of their estate, especially after a second marriage, adds another layer of heartbreak. If you’re in a blended family, estate planning after 50 demands more than just trust and good intentions.

With more Australians remarrying later in life, inheritance planning has become both more complex and more important. Too often, basic wills or unspoken promises end up pitting families against each other, leaving children from first marriages vulnerable and spouses unprotected. Financial planning after 50 isn’t just about money, it’s about protecting relationships and avoiding painful surprises.

Here are three critical estate planning mistakes to avoid if you want to secure your family’s future:

1. Relying on Verbal Promises Instead of Legal Structures

It’s common for parents to reassure children with, “Don’t worry, you’ll be looked after,” but when a will simply leaves everything to a new spouse, those promises mean nothing in the eyes of the law. In blended families, assets left to a spouse become entirely theirs, they can spend, change their own will, or leave everything to their own children, with no obligation to your children.

Real-Life Example:
Lisa, 56, was told by her father for years that she and her siblings would inherit his house one day. After he passed, they learned his new wife inherited everything. She later changed her own will, leaving the estate to her children from a previous relationship. Lisa was left with nothing but regret and confusion.

How to avoid this mistake:

• Use formal legal structures like trusts or life interest arrangements to protect both your spouse and your children.
• Work with an estate planning lawyer who understands blended family dynamics.
• Document intentions clearly, don’t rely on informal or verbal reassurance.

2. Assuming “Fairness” Will Naturally Prevail

Many people want to avoid difficult conversations, assuming their new spouse will “do the right thing” for all children. But as family structures change and emotions run high, even the best intentions can be lost or forgotten. Trust is not an estate plan. Silence is not protection.

Real-Life Example:
Margaret, 60, watched her father remarry after her mother’s death. When he passed away, his wife was named sole beneficiary. She promised to “share with everyone” but later changed her mind, leaving Margaret and her brother cut out completely.

How to avoid this mistake:

• Have open, direct conversations with all family members about your wishes.
• Review and update your will regularly, especially after remarriage or major life changes.
• Consider appointing an independent executor to manage your estate fairly.

3. Overlooking the Legal and Emotional Costs of a Challenge

When children feel blindsided by a will, contesting the estate may seem like the only option. But legal battles are expensive, emotionally draining, and can permanently fracture families. In most cases, the law gives the surviving spouse full control, unless a formal claim is made; and even then, success isn’t guaranteed.

Real-Life Example:
Sarah, 52, spent two years battling her stepmother in court over her late father’s estate. The process cost tens of thousands of dollars and destroyed family relationships, leaving scars that never fully healed.

How to avoid this mistake:

• Seek legal advice early if you suspect a problem, there may be time limits on contesting a will.
• Focus on prevention: clear documentation and honest planning can avoid disputes altogether.
• Prioritise open communication while everyone is still alive, don’t wait until it’s too late.

The Bottom Line: Protect Your Legacy with Courageous Conversations

Blended families require more planning, not less. Love is not a legal strategy. If you’re over 50, now is the time to review your estate plan and ensure your wishes are protected for everyone you care about.

• Don’t leave your legacy to chance or assumption.
• Work with professionals who understand the unique needs of blended families.
• Have the courageous conversations, because silence today can cause heartbreak tomorrow.

For support or to find a trusted estate planning adviser, financial advice is available. You can also explore additional tools and articles in the Resources Hub.

---

---

Vanessa Stoykov | Courageous Conversations About Money