How to grasp all of your parents' assets? The first step in inheritance planning

What is the very first thing you should do for inheritance planning?
It is “grasping all of your parents' assets”.

Assets do not just mean “savings.”
Cash, real estate, securities, and liabilities such as debts are also included.

■ When should you start?

As a guideline, 81.09 years old for men and 87.13 years old for women.
This is the average life expectancy for Japanese people in 2024.

In other words, once they pass this age, it becomes easier to
“find an opportunity to talk about inheritance.” In reality,
average life expectancy = “half of the people have passed away”, so it is never too early to start.

■ Are there any parents who will honestly tell you if you ask “Tell me your assets”?

Unfortunately, saying it straight like this does not work.

…There is a high possibility that it will turn out like this.

■ The workaround is to “involve a third party”.

The method I took was to ask a tax accountant.

The tax accountant comes to the house and says:

• “Mr. Alford, please bring all your bankbooks.”
  　→ Dad brings them honestly, saying “Sure, sure.”

• “Please provide all the land title deeds.”
  　→ Dad takes out the entire safe drawer, saying “I’m pretty sure this is everything…”

In this way, things that are difficult between parents and children become smooth when handled by a professional.

■ Good things about asking a tax accountant

• Inventory of assets (list) was created

• Inheritance tax estimation was performed

• Final tax return period, they even came to the house

• They also handled my father's receipt organization and tax return preparation all at once.

• The cost was not an "hourly rate" like a lawyer's, but was reasonable.

• Even when I sent questions by email, I received a polite response within a few days.

I still ask that tax accountant to handle the annual tax returns for both my father and myself
.

I truly realize that
staying connected with a trusted professional
is really important until the day inheritance occurs.

Summary

Understanding your parents' assets is the first step in inheritance planning. But that
first step is the most difficult.

That is precisely why a "third party" cushion is very effective.

To avoid future trouble and misunderstandings between family members, let's gradually move forward with
**“what can be done now”**.

Please enjoy our past articles as well.