Women's right: Father's property or husband's?

Let's recapitulate the four primary risks women face that we spoke of earlier. The risks were financial dependence, lower share of assets, failure of marriage, unequal division of inheritance. In the previous articles we spoke of the strategies for managing the risks one, two and three. In this part five of the series on financial planning for women, we shall talk about the risk of unequal division of inheritance.

 

Unequal division of inheritance

 

Important: Kindly note that if you and your spouse have created or are likely to create your own property and assets jointly this article may not be relevant to you. In this article, we are talking about the properties and assets that exist in your spouse's family and your father's family.

 

Scenario 1 - You are a daughter to someone and possibly a spouse to someone. The question I want you to ask yourself is "Where do I feel I have more right? - Is it in the assets of my father or is it in the assets of my husband and his family?"

 

Scenario 2 - You want to have a fair and just share in the property and assets of your father but at the same time, are you 100% willing that your sister-in-law or sisters-in-law also have a fair and just share in the property and assets of your husband's family?

 

Here is the fact: We tend to feel a 100% right in our spouse's family and we wish that we get a good share from our father's side as well. While we wish for this share from our father's side, we normally do not like sister-in-laws claiming stake. The reason why we simply wish for share from father's assets is because our society tells us that our home now is our new home - the husband's home. But we sure do wish that we are lucky to get a share from our father's assets. This may sound like we have double standards but if you think hard we actually do have these double standards, sometimes openly and otherwise not so open till the time everything is okay and that we do not have to face the issue of division of assets.

 

This normally tends to happen as a fall out of our Indian culture and value system. Daughters' weddings are generally more expensive; they are given a lot more than daughter-in-laws. Sometimes this is done to show wealth, sometimes as insurance that in-laws treat daughters well, the reasons are plenty. The son(s) must inherit the primary home, as daughter will have her own home. The son(s) will get all the shares, nominations to deposits and so on and the daughter will have her own destiny. This probably is because we are a patriarchal society. May be, the reverse is true for matriarchal society. I don't know. The fact is, we as a society are quite backward in our thoughts in this area. It disturbs peace, it is messy, it can give unwanted stress and is best prevented.

 

But what do we do as we want a share everywhere? The solution is very simple, but when solutions are simple they could turn out to be most complex to implement. All said and done the solution is more of mindset than mathematics. And where does it all begin? With you, naturally...

 

You and your spouse hold the key. Both you & your spouse must request your father-in-law to make a will and divide the assets equivalently without excluding your sister/s-in-law. The process of this educative change must begin somewhere. It may take a generation for this to percolate in the entire society but at least you have done your best, to give before you ask. Then if your father and his family refuse to give you anything - well that I would say is destiny unless you want to use legal and alternate means.

 

Change must also happen on another front - reduction of expenses pre and post daughters' marriage. If parents must give you - why not take cash rather than gold etc. Cash is alive while metal is dormant lying in your lockers. Cash can help you create more cash and assets - both paper assets like shares & bonds and real assets like property. Imagine if you have to face a divorcé and you don't have a property in your name and you can't live in your parent's/brother's home.

 

The final issue is the important issue of valuation of assets for a proper and fair distribution. You could do this yourself if you can come together as a family or seek professional help. Assets must ideally be divided based on their intrinsic properties and potential to creating wealth in future.

 

Kartik Jhaveri, an expert at Financial Planning, is a Certified Financial Planner and a Chartered Wealth Manager. He may be reached at kartik.jhaveri@transcend-india.com .

 

Disclaimer:

The contents of the above articles are the intellectual property and copyright of the author, Kartik Jhaveri. No part may be used or reproduced in any form or manner. If you choose to act upon the information contained in the above article it is at your own risk. This article is purely educative and you are strongly advised to consult an expert prior to taking any significant decision.

 

More from the same author on Women and Money:

                       

Women and Money Part I: Planning is a must

Money risks women face and how to mitigate them

Family and finance: Woman, demand or be denied

Marriage on the rocks? Financial planning steps in