Is the money that was earned with unlawful ways inherited to the children? Sale of alcoholic beverages for instance... Can one finance his/her relatives’ pilgrimage (son, daughter, wife) with this? And what is the ruling to spend this money for those who did not earn this (unlawful) money and are living under the guard of their father?
Earning money with unlawful ways that Allah prohibited makes one sinful. However, this sin belongs to him who earns it. This is lawful for those he has to care. They can spend this money and go on pilgrimage. The inheritance left to the children is also lawful. If one repents for his/her earnings from unlawful ways such as selling alcoholic beverages and earning interest, and does not repeat his/her mistake, there will be no responsibility for the property he/she earned. Allah says:
“So whoever has received an admonition from his Lord and desists may have what is past. His affair rests with Allah. But whoever returns to dealing in interest – those are the companions of the Fire; they will abide eternally therein.” (Al-Baqarah/The Cow 2:275)