Family with minor
Family with Minor
When a client of ours was discussing with his wife about who will take care of their two year old child if something happened to both of them, he figured out that his and his wife’s thoughts were different. Ladderup Trustees assisted them in identifying a guardian for their child in case of their unfortunate demise and created a Trust for their child so that his future is secure even when the parents are not around.
Appointing a guardian for your minor child requires a lot of deliberation and discussion between you and your spouse and while choosing a guardian, the parents must be mindful of certain factors, like, the child’s bonding with the guardian, his existing responsibilities, his values and beliefs, etc.
It is pertinent to note that legally at the age of 18, a child becomes eligible to inherit his share of assets from your wealth after your demise. At such a young age a child may not have the maturity and ability to handle the wealth and may even end up losing it all by taking bad investment decisions. To avoid such a situation, a trust can be created to hold the assets even after the child attains majority and provide for the benefits of the child. Thus, a trust may provide for the support and maintenance of the child, his education, marriage and all other expenses in a guided manner. It is also possible to put the guidelines regarding investment decisions in the trust deed which the Trustees need to follow.
Thus, if you have a family with minor, a trust becomes of utmost importance if you want to secure the future of your minor child and make sure that your child is well cared for even when you and your spouse are gone and your hard earned money is utilized for your child efficiently and effectively for his benefit without leaving any possibility of the same getting frittered away.