In Florida, if minors receive an inheritance over fifteen thousand dollars, that money could be held by a guardian of the property, which would require court oversight, supervision, and reporting. Upon reaching the age of 18, that minor would receive the remainder of the guardianship account without restriction. Most people do not think an 18-year-old is mature enough to handle a large sum of money. You want to set up a testamentary trust in your will or living trust to provide for the minor children.
You need to think about the person you would have to be a trustee. It could be the beneficiary’s parent or another one of your children. Trustees sometimes have an issue with not wanting to create an extra hassle for the beneficiary. If you name the right trustee, they’ll be glad to do the labor needed to set up that minor child’s trust. The thing that distinguishes your approach with minor children is the distribution provisions. The vast majority of clients allow distributions for the purposes of obtaining an education. You may want to elaborate on certain types of education that can be paid for, whether it’s private colleges, non-profit colleges, or vocational schools versus making the child use public schools to receive money.
There are also provisions that are typically included for health and support. The support for youth provision could be for purchasing cars, field trips, or prom dresses. The health idea can be expounded upon when it comes to braces and medical treatment. The distribution provision should consider at what age the minor child has full use, control, and distribution power of his or her inheritance that was previously held in trust.
You need to determine under what conditions the minor child can take control of the money and what could occur if that minor child never reaches your requirements. If you require a college education in order to receive full control of the money and that child can never get a college education, have you thought about addressing that contingency? The best trusts to set up for minor children are ones that provide for your values.
For more information on Best Trusts To Set Up For Minor Children, an initial consultation is your next best step. Get the information and legal answers you’re seeking by calling [number type=”1″] today.
Author Bio
Kellen Bryant, Esq.
Founder
Florida Bar Board Certified Elder Law Attorney, Kellen Bryant focuses his law practice on advising and helping caregivers with a particular focus on asset protection and preservation from long-term care costs, creditors, and predators. Kellen Bryant is AV Preeminent® Rated, meaning his attorney peers rated him at the highest level of professional excellence. Kellen Bryant was nominated and selected as a Super Lawyer, Rising Star: 2022.
