The Elder and Disability Law Firm, APC
Spendthrift trusts can provide a good solution
When you are planning your estate you have to a lot of things to consider, and one of these would be the personal proclivities of the individuals who will be receiving inheritances after you pass away.
You may have someone on your inheritance list who is not the greatest money manager. When you are preparing for the distribution of your assets after your death you may take pause before you give this individual a large lump sum of money with no controls attached.
He or she may burn through the money very quickly and be left in a bad situation later on. And, you may be concerned about the possibility of creditors attaching a good portion of the inheritance.
You can take action to assuage these types of concerns by making the person in question the beneficiary of a spendthrift trust. With these trusts the trustee distributes monetary resources in accordance with the trust agreement. It is the trustee who handles the funds that have been placed in the trust, not the beneficiary.
This trustee can be a professional entity such as the trust department of a bank or a trust company. If you engage such an entity to handle the trust resources you can be certain that they will be optimally invested and administered in accordance with your wishes.
To learn more about spendthrift trusts and other estate planning vehicles take action right now to arrange for a consultation with a licensed and experienced San Bernardino estate planning attorney.