You spent your entire life working hard and managing your income responsibly to amass a sizeable estate. You don't want your heirs to mismanage these assets -- or spend them frivolously -- especially when you spent so much effort to accrue them. The problem is that it's not enough to simply leave a note in your will that says, "Don't spend it all in one place."
Fortunately, if you know that your heirs are bad at managing money, you can take some strategic estate planning steps to manage the money and assets you leave behind for them. The most useful tool in this regard is known as a spendthrift trust. Any Tennessee estate planning lawyer will know how to create a trust, and structure it in a way that reflects the unique situation of your family and heirs.
Imagine you have an 18-year-old son and you know that he doesn't have the maturity to safely manage your $2 million estate. However, you do want him to receive and benefit from these assets. With a spendthrift trust, you can structure the trust so that a trustee manages the assets inside it, without any involvement from your son. The trust can also be organized to dispense a certain amount of its assets or income to your son each month. If you think your son will be mature enough by the age of 30, you can arrange for the remaining assets in the trust to be released to your son at this age.
At the law office of Mary C. Lagrone, we assist Tennessee residents with all their estate planning needs. Regardless of you and your family's circumstances, we can find an estate planning solution to fit your needs.