Those Closest to You Do Not Automatically Inherit - Part 2

Ten Years Together Do Not Create a Statutory Right of Inheritance

An unmarried partner does not become a statutory heir simply because of the relationship. Ten years together change this no more than thirty years do.

If one partner dies without a will or inheritance contract, the surviving partner receives no statutory share of the estate solely by virtue of the relationship.

Property that already belongs to the surviving partner naturally remains their property. Contracts may also establish separate claims. However, they do not create a statutory right of inheritance to the deceased person’s assets.

Anyone wishing to provide for their partner must therefore make their own arrangements. Possible options include appointing the partner as an heir in a will, leaving them a legacy or concluding an inheritance contract.

Spouses and existing registered civil partners may draw up a joint will. This option is not available to unmarried couples. They may draw up individual wills or conclude an inheritance contract. An inheritance contract must be notarised.

A Will Does Not Change the Relationship for Tax Purposes

A will can specify that an unmarried partner is to inherit.

However, it does not change the partner’s status for inheritance tax purposes.

An unmarried partner generally falls within inheritance tax class III. In cases of unlimited tax liability, their personal allowance amounts to 20,000 euros. Spouses and registered civil partners, by contrast, have a personal allowance of 500,000 euros.

This difference can be considerable, especially when a property is involved. A person may have lived with their partner in the same house for decades and may have been named as an heir in a will. For tax purposes, however, the legal relationship with the deceased remains decisive.

The will therefore answers the question of who should receive something.

Inheritance tax law then answers the question of how that acquisition is treated for tax purposes.

A Brief Explanation: Personal Allowance, Tax Class and Tax Rate

Three terms should be distinguished.

The personal allowance determines what portion of an acquisition generally remains tax-free. Its amount depends on the relationship between the person transferring the assets and the person receiving them.

The tax class, together with the amount of the taxable acquisition, determines which tax rate applies. It has nothing to do with an income tax class.

The taxable acquisition is not automatically the same as the entire estate or the market value of a house. Personal allowances, certain estate liabilities and statutory tax exemptions can alter the tax basis.

The Most Important Personal Allowances

Spouse or registered civil partner
Tax class I
Personal allowance: 500,000 euros

Child or stepchild
Tax class I
Personal allowance: 400,000 euros

Child of a child who has already died
Tax class I
Personal allowance: 400,000 euros

Grandchild whose parent is still alive
Tax class I
Personal allowance: 200,000 euros

Other persons in tax class I
Tax class I
Personal allowance: 100,000 euros

Persons in tax class II
Tax class II
Personal allowance: 20,000 euros

Unmarried partner and other persons in tax class III
Tax class III
Personal allowance: 20,000 euros

A special rule applies to parents and grandparents: In the case of an inheritance, they fall within tax class I. In the case of a gift, they generally fall within tax class II. [4] [5]

Tax Rates After Deducting the Applicable Allowances and Exemptions

Taxable acquisition of up to 75,000 euros
Class I: 7 percent
Class II: 15 percent
Class III: 30 percent

Taxable acquisition of up to 300,000 euros
Class I: 11 percent
Class II: 20 percent
Class III: 30 percent

Taxable acquisition of up to 600,000 euros
Class I: 15 percent
Class II: 25 percent
Class III: 30 percent

Taxable acquisition of up to 6 million euros
Class I: 19 percent
Class II: 30 percent
Class III: 30 percent

Taxable acquisition of up to 13 million euros
Class I: 23 percent
Class II: 35 percent
Class III: 50 percent

Taxable acquisition of up to 26 million euros
Class I: 27 percent
Class II: 40 percent
Class III: 50 percent

Taxable acquisition exceeding 26 million euros
Class I: 30 percent
Class II: 43 percent
Class III: 50 percent

This overview shows the statutory tax rates. The amount of tax actually payable depends on the specific taxable acquisition and any additional exemptions that may apply.

Legal position as of 25 August 2026. This overview describes the basic rules and does not replace a calculation of the individual inheritance case.

Stepchildren Illustrate the Difference Particularly Clearly

In blended families, tax treatment can differ considerably from the statutory order of succession.

Without adoption, a stepchild has no statutory right of inheritance from a stepparent. The child may have lived in the same household for many years and may regard the stepfather or stepmother as a parent. If that parent dies without making an appropriate testamentary arrangement, this relationship alone does not create a statutory inheritance claim.

The status of stepchild alone also does not create a compulsory portion claim against the stepparent.

The position is different for tax purposes. Inheritance tax law places stepchildren in tax class I. In cases of unlimited tax liability, they generally have a personal allowance of 400,000 euros.

This creates a situation that may appear surprising at first: A stepchild can be treated similarly to a biological child for tax purposes while remaining outside the statutory order of succession under inheritance law.

The tax allowance does not itself provide the stepchild with any assets. There must first be a legal basis for the acquisition, such as an appointment as heir or a legacy.

Adoption can change the child’s position under inheritance law. In the case of the adoption of a minor, the adopted child generally acquires the legal status of a child. Different rules apply in some cases to the adoption of an adult, meaning that no general statement can be made.

A Person’s Own Children May Retain Claims Despite a Will

Children are generally entitled to a compulsory portion. If a child is excluded from the succession through a will, the child may claim a compulsory portion from the heirs. This generally amounts to half the value of the child’s statutory share of the inheritance.

The distinction is important in practice. The compulsory portion claim does not make the child a regular co-heir. Instead, the child receives a monetary claim against the heir.

In a blended family, this can create a conflict between different objectives.

A parent may wish to provide for their new spouse first and therefore appoint that spouse as sole heir. The parent’s own children from a previous relationship are initially excluded from the succession. Their compulsory portion rights do not, however, disappear.

If the estate consists mainly of a house and only a small amount of readily available money, this can create a considerable liquidity problem. The surviving partner may then own valuable assets but simultaneously need money to satisfy compulsory portion claims.

A Berlin Will Must Also Work for the Second Death

Married couples often choose an arrangement under which the surviving spouse inherits first and the children inherit only after that spouse’s death. This basic structure is generally known as a Berlin will. The German Civil Code provides for reciprocal appointments as heirs and the designation of final heirs.

This can provide substantial protection for the surviving spouse.

In a blended family, however, the will must specify precisely which children are to inherit later. Without adoption, a child of the spouse who dies first has no statutory right of inheritance from the surviving stepparent. If no appropriate arrangement is made for the second death, the assets may later be distributed differently from what was intended.

Another factor is the possible binding effect on the surviving spouse. Certain provisions in a joint will may be interdependent. After the death of the first spouse, they may no longer be changed easily in some circumstances.

This may be expressly intended. A parent may, for example, want to ensure that the assets eventually pass to their own children.

The same binding effect may become impractical years later if family relationships, assets or personal circumstances change considerably.

A Berlin will is therefore an estate-planning instrument and not an automatic standard solution for blended families.

A Family Map Reveals Where the Risks Lie

Before a will is drafted, four questions can help:

1. What legal relationship exists?

Spouses, unmarried partners, biological children, adopted children and stepchildren have different legal positions.

2. Who would actually inherit without a will?

This question should be answered separately for each partner.

3. Who has compulsory portion rights?

The intended succession can trigger payment claims by other people.

4. What should happen after the second death?

Especially in blended families, planning only for the first death is often insufficient.

If both partners have children from previous relationships, both possible sequences should be considered: What happens if person A dies first? What changes if person B dies first?

The outcomes can differ considerably.

The Existence of a Will Is Not Sufficient in Itself

The fact that a will exists says little about whether it actually produces the intended result.

A better review begins with the outcome: Who receives which assets after the first death? Which compulsory portion claims arise? What tax may become payable? What assets does the surviving partner own afterwards? Who receives those assets after the second death?

This type of simulation is particularly valuable for unmarried couples and blended families.

When You Should Take Action

You should not postpone estate planning if the statutory order of succession clearly does not reflect your life.

This applies particularly when an unmarried partner is to be provided for, stepchildren are to receive assets, children from previous relationships are involved, compulsory portion claims could jeopardise a partner’s financial security or a valuable property makes up most of the assets.

An existing Berlin will should also be reviewed if the family situation has changed since it was drawn up.

An inheritance contract must be notarised. Advice from a notary is also particularly useful when a blended family, several heirs, compulsory portion issues, properties or binding provisions for the second death come together. Notaries can ensure compliance with formal requirements and clarify the actual legal effect of the intended wording.

A handwritten will may be valid and sufficient in straightforward circumstances. However, the greater the difference between the family recognised by law and the family as it is actually lived, the less one should rely on standard wording.

Inheritance law does not automatically translate personal closeness into legal rights. Those who know which people they want to protect and what would happen to them without their own arrangements can close this gap deliberately.

This article provides general guidance on German inheritance law and inheritance tax law. It does not replace individual legal or tax advice. Legal position as of 25 August 2026.

Sources

[1] Media Network of the German Chambers of Notaries, 2014, “Unmarried Cohabitation: A Legal Vacuum?”
https://www.notar.de/aktuelles/details/wilde-ehe-ein-rechtsfreier-raum

[2] Federal Ministry of Justice and Consumer Protection and Federal Office of Justice, 2026, “Civil Partnership Act, Section 1 Civil Partnership and Section 10 Right of Inheritance”
https://www.gesetze-im-internet.de/lpartg/__1.html
https://www.gesetze-im-internet.de/lpartg/__10.html

[3] Federal Ministry of Justice and Consumer Protection and Federal Office of Justice, 2026, “German Civil Code, Section 2276 Form of the Inheritance Contract”
https://www.gesetze-im-internet.de/bgb/__2276.html

[4] Federal Ministry of Justice and Consumer Protection and Federal Office of Justice, 2026, “Inheritance and Gift Tax Act, Section 15 Tax Classes”
https://www.gesetze-im-internet.de/erbstg_1974/__15.html

[5] Federal Ministry of Justice and Consumer Protection and Federal Office of Justice, 2026, “Inheritance and Gift Tax Act, Section 16 Allowances”
https://www.gesetze-im-internet.de/erbstg_1974/__16.html

[6] Federal Ministry of Justice and Consumer Protection and Federal Office of Justice, 2026, “Inheritance and Gift Tax Act, Section 19 Tax Rates”
https://www.gesetze-im-internet.de/erbstg_1974/__19.html

[7] Federal Ministry of Justice and Consumer Protection and Federal Office of Justice, 2026, “Inheritance and Gift Tax Act, Section 14 Consideration of Previous Acquisitions”
https://www.gesetze-im-internet.de/erbstg_1974/__14.html

[8] Media Network of the German Chambers of Notaries, 2016, “Estate Planning and Blended Families”
https://www.notar.de/aktuelles/details/nachlassplanung-und-patchwork

[9] Federal Ministry of Justice and Consumer Protection and Federal Office of Justice, 2026, “German Civil Code, Sections 1754, 1770 and 1772 Effects of Adoption”
https://www.gesetze-im-internet.de/bgb/__1754.html
https://www.gesetze-im-internet.de/bgb/__1770.html
https://www.gesetze-im-internet.de/bgb/__1772.html

[10] Federal Ministry of Justice and Consumer Protection and Federal Office of Justice, 2026, “German Civil Code, Section 2303 Persons Entitled to a Compulsory Portion; Amount of the Compulsory Portion”
https://www.gesetze-im-internet.de/bgb/__2303.html

[11] Federal Ministry of Justice and Consumer Protection and Federal Office of Justice, 2026, “German Civil Code, Sections 2269 to 2271 Reciprocal Appointment, Interdependent Dispositions and Revocation”
https://www.gesetze-im-internet.de/bgb/__2269.html
https://www.gesetze-im-internet.de/bgb/__2270.html
https://www.gesetze-im-internet.de/bgb/__2271.html

[12] Media Network of the German Chambers of Notaries, 2018, “Five Good Reasons for a Notarial Will”
https://www.notar.de/aktuelles/details/fuenf-gute-gruende-fuer-ein-notarielles-testament

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