- A cohabitee has no statutory inheritance rights.
- A cohabiting partner does not have a statutory right to inheritance. If no will has been made in favour of the cohabiting partner, their position is unprotected.
- The deceased's next of kin, meaning the deceased's children, are entitled to the inheritance. If there are none, the deceased's spouse, parents, and parents' parents will inherit next.
- A cohabitee can be placed on the same level as other beneficiaries in the distribution of an inheritance through a will.
Can a cohabiting partner inherit without a will?
A cohabitee is not comparable to a spouse in estate division. Therefore, a cohabitee does not have a right to inheritance in an estate division, unless a will has been made in their favour.
In the event of a death, a division of assets shall be carried out at the request of the surviving partner or the heirs of the deceased partner, meaning the assets of each party are separated according to ownership.
Mitä puolisovähennys tarkoittaa?
If cohabiting partners have a child together, they are treated as married couples for inheritance tax purposes. Consequently, a surviving cohabitee pays inheritance tax on property received from their deceased cohabitee by will, as if they were a surviving spouse. Such taxation falls into a lower tax bracket.
How to secure your cohabitee's position in the event of death
It is advisable to make a will for the benefit of a cohabiting partner, at which point the cohabiting partner will be in the same position in the distribution of an inheritance as any other beneficiary of a will. A will made for the benefit of a cohabiting partner is subject to the general conditions of a will, and a will cannot infringe upon the legal share of a direct descendant. It is therefore recommended that cohabiting partners make a mutual will in case of death to ensure that the distribution of the inheritance is in accordance with their wishes. However, it is a good idea to consult a lawyer regarding the will to ensure its validity and clarity.
Cohabitation and death: how is inheritance divided between cohabiting partners?
In the event of a death, a division of assets shall be carried out at the request of the surviving partner or the heirs of the deceased partner, meaning the assets of each party are separated according to ownership.
The cohabitee's right to the other's property is therefore based on a will.
Who inherits if only one of the spouses has children?
If only one of the spouses has their own children, and the childless spouse dies first, the surviving spouse will inherit from their childless spouse who died first. A cohabiting partner does not have such a right.
Read more about the order of succession here.
If, on the other hand, the spouse who had children dies, The deceased spouse's children, i.e. direct descendants, inherit..
How does a cohabitee's inheritance differ from a spouse's inheritance?
A cohabitant can only inherit from their deceased partner through a will. By law, a married partner inherits from the first deceased partner if the first deceased partner has no direct descendants. A cohabitant does not have such a right.
The inheritance tax for a cohabiting partner in a registered partnership is also generally higher than for a married spouse.
You can find out more about who is included in the estate. here.
Does all property and personal belongings need to be specified in a will?
A will can include part or all of one's assets. A specific bequest, or legacy, means that, for example, a cohabiting partner has been left only a specific, identified asset by will.
A general testament is called will, where property is left without further specifying it to a particular party. Such a will could be, for example, one where a cohabiting partner inherits the entire estate or a portion of the estate (e.g. a ½ share) by will.
