As a parent, you want the best for your children’s future. You also know that you would do anything for them and provide them with anything they needed. As a result, when you consider your estate plan and desires for property distribution, you undoubtedly want to leave at least a portion of your remaining assets to your children.
As you know, an accident, illness or injury could occur at any time that results in your passing. As a result, your children could still be minors if you meet an untimely demise. Because minors do not yet have a great deal of financial responsibility, you may wonder whether you could even leave assets to your young children.
Bequeathing assets to minors
Fortunately, you can still leave assets to your children even if they have not reached adulthood. Of course, children cannot simply obtain a windfall, so you may find it beneficial to plan ahead. If you do not set up measures in your estate plan to account for the management of their inheritances, the court will have to put someone in charge until your children are old enough to handle their own financial affairs. Fortunately, you have various options for handling this matter, which can include:
- Setting up a trust: A trust can allow you to place assets into it while appointing a responsible person to manage the assets for your children. You can provide instructions indicating that the trustee can distribute a certain amount of assets at certain stages or provide a date or age at which your children could receive their inheritances in full.
- Using a restricted account: If you do not have significant amounts of money or assets to leave your minor children, a restricted account rather than a trust may make more sense. A restricted account can provide funds for your children’s care until they reach adulthood, at which point they will receive the entirety of the remaining funds.
In order to make the best decisions for your estate plan and your family, you will undoubtedly want more information. Fortunately, you can consult with an experienced Texas attorney who can provide you with reliable and applicable information for your specific details. Having this knowledge could allow you to determine how to leave your children their inheritances in a way that would most benefit them and their futures.