Estate planning is not a generic cookie cutter endeavor because not everyone is a perfect person. There are those who tend to experience complications throughout their lives and you may have such an individual in your family.
Leaving behind a large inheritance to someone who tends to run into more than his or her share of personal problems can be disconcerting.
Individuals such as these probably need the financial underpinning that an inheritance will provide more than family members that you have who have proven themselves to be responsible and self-sufficient. On the other hand, they may not handle the resources well and find themselves with nothing to fall back on at some point in time.
This is a matter to discuss frankly with a good local Hartford estate planning lawyer should you be in such a position. You could choose to fund a trust for the benefit of an individual with personal or ongoing financial problems that is constructed in such a manner as to protect the assets while providing distributions to the beneficiary as you see fit.
A spendthrift trust is one of these options. The beneficiary can benefit in accordance with the trust agreement but he or she has no access to the principal and creditors and claimants cannot go after the resources that you placed into the trust.
Incentive trusts can also be created. With these trusts you include stipulations that must be met before distributions from the trust take place.
There are solutions to most challenging situations that may enter the picture when you are crafting your legacy. With the assistance of a qualified estate planning professional you can provide for your loved ones in the specific manner that is right for each of them.
- Engage an Attorney During the Living Trust Administration Phase - October 19, 2021
- Has Your Property Appreciated? Estate Taxes May Be a Factor - October 14, 2021
- Medicaid Answers: Can a Spouse Keep a Beneficiary’s Income? - October 12, 2021