Child/Grandkids-How does surviving Spouse get acces to funds
You suggest naming the grandkids over the kids as the Primary Beneficiaries and to avoid using the Love Me Too Will scenario. Once one of the IRA owner passes, how does he/she gain acces to the assets, especially where the kids are minors?
Would you recommend some type of Trust?
Please repy promptly.
Randy
Permalink Submitted by Bruce Steiner on Fri, 2008-06-27 03:14
It’s not clear who “you” refers to. The estate plan that your lawyer will recommend for you will depend upon your situation and your objectives. You may want to provide for your children and grandchildren in trust rather than outright to better protect the assets against the beneficiaries’ potential creditors (including spouses), and to keep the assets out of their estates for estate tax purposes. But if the amount involved is too small to warrant having to administer a trust, you could leave their inheritances to them outright, with a custodian under the Uniform Transfers to Minors Act for those under age 21 (or the age to which a custodianship can run, if it’s other than 21 in the applicable state).