New Delhi, June 16 -- The concept of having a joint family and joint businesses and assets still exists in India. However, having joint finances and assets can also become a point of strife between families. A common way to manage financial affairs of families more efficiently is forming an HUF (Hindu Undivided Family). As the names suggests, an HUF consists of a group of family members lineally descended from a common ancestor. Typically, the father or the eldest member of the family is the karta or the head of the HUF, while other family members are coparceners or members.

The karta manages the day-to-day affairs of the HUF, while children are coparceners in their father's HUF. According to rules, once a daughter gets married, she beco...