What happens if you fail to plan for your minor
child?
If you do not plan for the needs of your minor
children, a Court will take charge of the assets in guardianship
proceeding. Even if you nominate a
Guardian, the Court will have the final say.
Not only is the guardianship process expensive, but there is no way to
ensure that the Court will carry out your values and desires for your
children. The Courts generally want to
protect minors. Therefore, they will set
the minor’s money into a blocked account that can only be accessed through a
Court Order. If the child, for instance,
needs braces, you would have to petition the Court and go to a hearing to get
guardianship ends when the child reaches age 18. At the time, the child is given unconditional
control of their property. Most people
do not want to hand over a larger sum of money to an 18 year old, who could
blow through that money in a short period of time. Most 18 year olds do not have the maturity
level yet to handle a large sum of money
The guardianship proceeding through the Court can be
circumvented by setting up a living trust for the benefit of your minor
children. If that trust is properly
funded with your assets, you can avoid any Court intervention. The terms of the trust can provide for the
child’s health, education, maintenance and support. You can decide at what age you want the child
to access the money and for what purposes.
LAW OFFICES OF SUZANNE M. GRAVES, INC.
A Professional Corporation
Suzanne M. Graves
Attorney & Counselor at Law
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