When you have children, you want to make sure they are safe and protected beyond their years in your home. For some people, this means making sure they are financially secure. One way to set your children up for financial security is through a trust.
A trust has four components: the trustmaker, the person who creates the trust; the benefactor, the person(s) who receives the assets; the successor trustee, who ensures that the assets and property are distributed as intended; and the assets themselves, whether money or property.
There are a variety of different kinds of trusts that can be set up for your children. You may want your children to receive their inheritance while you are still alive. Often these types of trusts are set up so they receive the inheritance at a certain age. You may want to keep the assets in your possession and pass it along to the children once you’ve passed. Regardless of what type of trust you want to set up, there are a few things you need to do to get started.
Take Stock of Your Assets
When dividing up your assets between your children, it is very important to know what you are dealing with. Taking stock of your assets including monetary funds, property and personal belongings will help you in the trust-making process.
Speak with an Attorney
Before any legal documents are drawn up, it’s good to speak with an attorney. They will help you understand all your options and can make sure things are done by the book. In the case of a trust that is enacted after your death, you won’t be around to adjust any mistakes, so make sure it’s all correct the first time around.
Decide When the Assets Should be Received
If you’re setting up a trust for minor children, you will most likely want to designate an age at which they can receive the trust. Some people might opt for 18 while others may want their children to be older and more responsible before receiving their inheritance.
Consider If You Want Stipulations on the Trust
You’re passing along your hard-earned assets to your children, so it’s okay to have some stipulations built-in. Maybe you want your children to receive a degree before being granted their trust, or maybe you want them to live in the house you’re giving them instead of selling it. Talk with your attorney about adding stipulations to your trust if you feel they are necessary.
Experienced probate attorneys like those at Mestayer Law Firm are here for you. Call Mestayer & Associates today so we can guide you through the estate planning process most beneficial to yourself and those who you intend to inherit your property.
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This article does not create an attorney-client relationship. I am licensed to practice law in Mississippi and have based the information presented on US laws. This article is legal information and is for entertainment and informational purposes only and should not be seen as legal advice. You should consult with an attorney before you rely on this information. Any information provided in this blog is accurate and true to the best of my knowledge, but that there may be omissions, errors or mistakes.