A net estate of $200,000 after funeral expenses, debts and any bequest. Here is what Islamic law does with it, and what Canadian law does.
Under faraid
| Heir | Share | Amount | Basis |
|---|---|---|---|
| Wife | 1/8 | $25,000 | one eighth with children |
| Sons (2, each) | 7/10 | $140,000 | residue as asabah, two shares each |
| Daughter | 7/40 | $35,000 | residue as asabah, one share each |
Shares total 1. Figures rounded to whole dollars.
Under Canadian law
The RRSP passes directly to the named brother, outside the estate and outside the will. But the plan is treated as fully withdrawn on death and the tax lands on the estate — which everyone else shares.
What makes the difference
The faraid shares below apply only to the $200,000 that actually entered the estate, and that figure is reduced further by the tax on an asset the estate never received.
Real estates involve debts, taxes, beneficiary designations and jointly held property that change the arithmetic substantially. Run your own family through the calculator, then confirm the result with a scholar and a lawyer.
This is legal information only. For advice on your own circumstances, speak to a lawyer.
Citations & sources
Every factual claim on this page traces to one of the references below. Legislation and dollar thresholds change — verify against the primary source before relying on any figure.
- Research Papers — Cambridge Muslim College
- Academics — Islamic law and theology curriculum — Zaytuna College
- Renovatio: The Journal of Zaytuna College — Zaytuna College
- Oxford Islamic Studies / Oxford Reference — Oxford University Press
- Encyclopaedia of Islam — Brill
- Surah an-Nisa 4:11 — shares of children and parents — Quran.com
- Surah an-Nisa 4:12 — shares of spouses and uterine siblings — Quran.com
- Surah an-Nisa 4:176 — the kalalah verse — Quran.com
- Sahih al-Bukhari, Book 85: Laws of Inheritance (Faraid) — Sunnah.com
- Sahih Muslim, Book of Inheritance — Sunnah.com
- Death of an RRSP annuitant — Canada Revenue Agency
- What to do when someone has died — Canada Revenue Agency
- Designating estate as beneficiary ontario pitfalls — Treadstone Law
- Non resident beneficiary canadian trust withholding — Treadstone Law
- Probate notice beneficiaries ontario — Treadstone Law
- What happens to a will if a beneficiary dies first — Treadstone Law
- Co executors deadlocked beneficiary options ontario — Treadstone Law
- Life insurance no beneficiary deemed part of estate ontario — Treadstone Law
- Rrsp vs tfsa which to use first ontario — Treadstone Law
- Wills & estates practice — Treadstone Law