Here's how your stepchildren can be involved in your inheritance

Stepchildren are often full members of the family. However, they're not automatically seen as part of the family under the eyes of inheritance law. Find out how you can include them in your estate.

What does the law say today?

An increasing number of families are now blended families. You help raise your partner's children and forge a close relationship with them. Yet from a legal perspective, inheritance law is lagging behind. There is no automatic family relationship between a step-parent and a stepchild, which in turn means there is no legal right to inheritance. In other words, your stepchild will inherit nothing from you by law – unless you take action yourself.

Under Belgian inheritance law, only your legal descendants (biological or adopted children) and spouse will automatically receive some of your inheritance. Legally cohabiting partners also have a (limited) right to your inheritance. A stepchild – your partner's child who has no blood or adoption ties to you – is not considered your legal heir. If you don't write a will, your inheritance will go to your own family in its entirety (your children, spouse, parents and so on, depending on your situation), and your stepchild won't receive a cent.

Solution 1: A will

Drawing up a will is the most efficient way to leave something to your stepchildren. You can use a will to stipulate who inherits what, within the limits set by law.

If you have your own children, you will need to take the statutory reserve into account. Your biological or adopted children are reserved heirs, meaning together they are entitled to at least half of your estate (regardless of the number of children). Half of your assets are protected for them, while the other half of your assets can be distributed as you see fit. If you have one biological child and one stepchild, you can ensure a distribution that's more or less fifty-fifty by drawing up a will.

If you have several children of your own, the reserved half will be divided among them, and you can decide to leave the remaining assets to your stepchildren. The best move may be to find a balance to ensure that no-one feels they've been left at a disadvantage. Leaving a (step)child more than the amounts set by inheritance law may lead to the other biological or adopted children claiming their legal share upon your death.

The benefits of a will:

• You retain control over your assets until your death and can amend or withdraw your will at any time. You will remain in control of your money as long as you are alive and can react to changing family situations.
• Under certain conditions, your stepchildren can inherit at the same rate of inheritancetax as for your own biological children. In Flanders, Brussels and Wallonia, stepchildren usually pay the same inheritance tax as biological children if the step-parent was married to or legally cohabiting with the parent. The same is the case in Flanders in the case of de facto cohabitation of more than one year, and in Brussels and Wallonia in the case of a long-term care relationship.

Note: A will must be clear and drawn up correctly from a legal perspective. Vague wording or errors can lead to discussions over the will or even the will being invalid. It's therefore a good idea to have a will drawn up by a notary. The notary will make sure the wording is clear, that the legal limits (such as the reserve) are taken into account, and will store your will. What's more, a notarial deed can also be executed straight away, meaning you don't have to go to court in the event of a dispute.

Solution 2: Gifting in the event of life

One alternative (or supplement) to a will is making a gift to your stepchildren in the event of life. This means you can gift part of your estate now, so it won't be included in your estate when the time comes later in life. This strategy can be fiscally advantageous, as registering a gift is generally taxed at lower rates than heirs, especially if it relates to stepchildren who would otherwise fall under the higher rate for non-relatives.

Moreover, stepchildren also benefit from the same favourable gift tax rate as biological children in many cases. This is the case if you are married to or legally cohabiting with their parent (in Flanders and Wallonia, but not in Brussels). A gift can therefore save the (step)children a large amount in inheritance tax later on. In addition, you also provide your stepchild with financial support at a time when they may have more need for it (such as buying a home, for their studies, as start-up capital and so on).

Here are a few examples of gifts:

• In most cases, gifttax is lower than inheritance tax. Under certain conditions, stepchildren can benefit from the same low gift tax rate as children in the direct line (in Flanders and Wallonia, but not in Brussels). Another option is to choose to make a gift onwhich the gift tax is not due.However, this does come with risk, as you must remain alive for five years (Flanders and Wallonia) or three years (Brussels; this will increase to five years from 2026) after making the gift, otherwise the higher inheritance tax rates will apply.
• You see the result. You help your stepchild to become a (part-)owner. You can see that your gift has been well spent and that your stepchild benefits from it, which may give you a sense of satisfaction. It can also strengthen family bonds.
• What you have given as a gift is no longer part of the inheritance later on. This avoids any discussions at a later date, as long as the gift is arranged correctly and the statutory reserve is respected. Note: If you have your own children, large gifts made to stepchildren must not impact the reserve for your own children. If gifts are too large, they may come under question following your death. Make sure to ask your notary for advice.

Be aware that a gift cannot be revoked. Once it's been gifted, it can only be revoked in very exceptional cases. You should therefore think carefully about what you give as a gift. Can you still live comfortably on what you have left, especially if you live for many years? Also be mindful of the fact that your relationship with your stepchildren may evolve over time. You will also lose control over what the beneficiary does with the gifted assets (unless you impose conditions or terms in the gift deed).

Option 3: Full adoption

Finally, adopting your stepchildren is also an option for you to consider. Adoption creates a real, legal parent-child relationship, and means that your stepchildren automatically become your heirs, just like any biological children. Adoption is therefore the most comprehensive solution for giving any stepchildren the same rights as your own children. We distinguish between two types of adoption: full adoption and simple adoption.

Full adoption is only possible for minors. With full adoption, the ties between the child and one of their original parents are severed. Instead, the child becomes your legal child, with identical inheritance rights as a biological child (including the reserve). Note: Full adoption of a stepchild implies that the link to the other parent disappears, which is rarely desirable in a blended family. After all, the biological parent (your partner) and (potentially) the other biological parent must agree to such a significant step. Full adoption therefore only occurs in practice where the child's other biological parent has died or is not in their life at all, and you raise the minor child as the single parent.

Simple adoption is a more accessible route, including for adult stepchildren. In the case of ordinary adoption, the child remains a member of their biological parents' family from a legal perspective, but gain an extra parent (the step-parent). The child retains their right of inheritance towards their own parents and their family, and becomes the adoptive parent's (step-parent) heir. This creates a dual line of descent. In contrast to full adoption, the adopted stepchild will not inherit from the step-parent's relatives (apart from the step-parent themselves) under an ordinary adoption. In many cases, ordinary adoption is feasible without harming the original family ties, and still offers the legal certainty that your stepchild will inherit from you later on as if they were your own biological child. You should also bear in mind that adoption is a decision that is (almost) irreversible. You will remain your stepchild's legal parent, even if your relationship with your partner comes to an end.

Useful tips

Allowing stepchildren to receive part of your inheritance requires tailored and well-thought-out planning. Below are some tips on how you can get started:

• Seek help from a professional. Succession planning in a blended family is a complex issue. Engage a notary or an estate planner in good time. They will be able to analyse your specific family and financial situation and suggest the best combination from the options available (will, gift, marriage contract, inheritance agreement, etc.).
• Get the ball rolling in good time. Don't wait until it's too late. The earlier you start planning, the more options you will have at your disposal and the better the decisions can be tailored to your needs. By thinking about your estate in good time and making sure everything is arranged properly, you give yourself and your family peace of mind and prevent conflicts further down the line.
• Don't forget to provide your partner with the necessary protection (such as through usufruct or life insurance) and secure the children's position at the same time. All the pieces of the puzzle (marriage contract, will, gifts and insurance) must correspond to one another. An expert will help you make sure you don't miss a thing.

Not quite ready to start thinking about gifts?

At Keytrade Bank, you can make your money work for you in the meantime