San Fernando Valley Will and Trust Lawyer

Leaving a Legacy to Your Nieces and Nephews: What to Know and Why You Need a San Fernando Valley Will and Trust Lawyer

If you share a close bond with your nieces and nephews, ensuring they’re included in your estate plan is natural. However, the laws of inheritance can complicate things, especially for younger beneficiaries. Let’s unravel the factors to consider:

How Inheritance Laws Work without a Will

When you die without a will (known as dying “intestate”), state laws dictate how your assets are distributed. In most cases, these laws prioritize descendants in order of lineage:

  • First in line: Your spouse and children.
  • Next: Your parents.
  • Following that: Siblings come into the picture.

Nieces and nephews often won’t inherit directly in this scenario unless their own parent (your sibling) has also predeceased you.

Leaving Assets Directly to Nieces and Nephews

A clear, legally-sound will ensures your inheritance desires are honored. A San Fernando Valley will and trust lawyer will help you structure your will to leave specific assets or a portion of your estate to your nieces and nephews.

Important Considerations for Minors

If your nieces and nephews are still minors, it’s important to consider the following issues when creating your plan: 

  • Age of Majority: Most states consider minors unable to directly manage property or finances before age 18 (in some states, 21).
  • Guardianship Battles: Parents are normally guardians, but without a plan, surviving relatives could clash over this role, jeopardizing your intended legacy.
  • Access to Funds: Even well-intentioned guardians may have limits on how they can use inherited money for a child’s benefit.

Trusts – The Flexible Solution

Trusts solve problems and provide enhanced control over how and when your nieces and nephews receive their inheritance. Your lawyer can advise on these crucial components:

  • Trustee Choice: Choose someone you trust implicitly to manage assets responsibly for your beneficiaries until they reach a certain age.
  • Distribution Rules: Tailor provisions for staggered payouts, funding education, or meeting specific needs in their childhood.
  • Protecting Assets: Properly constructed trusts may shield inheritances from future creditors or bad financial decisions early in a beneficiary’s adult life.

Get Clear Guidance – Protect Your Legacy

If you are interested in creating a plan that benefits your nieces and nephews, our San Fernando Valley will and trust lawyers are here to offer guidance and support. Simply call our law firm at 818-334-2805 to schedule a consultation. Together, we’ll help you navigate the legal framework and design an estate plan that reflects your love and ensures peace of mind.

Calabasas Will lawyers

All You Need to Know About Leaving Money to Minor Children | Calabasas Will Lawyer

If you plan on leaving money to minor children in your Last Will and Testament, you’ll have an important issue to consider: Who will be in charge of managing the inheritance and keeping the child’s money safe from being lost or squandered if the parents pass away?

Estate planning is often easier for married couples in this situation. One spouse leaves everything to the other spouse, and the surviving parent will take care of the children. But what happens if something happens to both parents, either at the same time or within a short span of time?

Unfortunately, a Calabasas Will lawyer can tell you that there is no easy answer. Young beneficiaries usually require someone else to be named to manage their inheritance because they are legally unable (as in the case of a minor) or too immature to manage the inheritance themselves.

Parents often will ask the people named as guardians to also take responsibility for their children’s money and property. However, if you do not name anyone to manage finances for your children, the probate court will do it for you by appointing someone – oftentimes a complete stranger – to serve as the children’s financial guardian. The financial guardian selected by the probate court must report frequently and has limited authority to make decisions.

It’s also important to note that, unless a trust is utilized, children who are 18 or older will have complete control of the property and money left to them. That being said, you should consider raising the age at which your child gains financial responsibility to age 25 or older. This reduces the risk of your child’s inheritance being mismanaged or lost.

A Revocable Living Trust is the best way to manage your children’s inheritance so that they do not receive a lump sum of money before they are mature enough to handle it. A Revocable Living Trust allows you to raise the age or lay out key milestones in which the children receive their money. It also allows you to specify a trustee who oversees the distribution of funds to your children according to your wishes for their future and how their inheritance is to be spent.

If you have any questions about naming a person to manage a minor child’s finances, or if you are interested in learning more about setting up a Revocable Living Trust, please give our Calabasas Will lawyers a call 818-334-2805 for a consultation.