Don’t give money outright to Beneficiaries under age 21 By Kenneth Verca...

Don’t give money outright to Beneficiaries under age 21 If you have any children or beneficiaries under the age of 21, you should formally change the beneficiary on life insurance beneficiary designation, IRA/ 401k/ SEP from children to “My estate” so they do not receive money at age 20. We recommend you obtain copies of your life insurance beneficiary designation, IRA/ 401k/ SEP designation forms and include in your Will folder. A Will cannot change who your beneficiaries are. CREATION OF TRUST FOR CHILDREN IN WILLS 20 year old don't handle money wisely. We recommend a trust within a Will if you have children under the age of 25 to protect their assets from creditors and temporary friends In the event that my spouse predeceases me, dies with me in a common disaster, or dies within thirty (30) days of the date of my death, I give, devise, and bequeath all the rest, residue, and remainder of my estate, real, personal, and mixed, wherever found and wherever situate to my Trustee, hereinafter named, in trust, to be divided into equal shares so as to provide one equal share for each of my children and the income and principal of each child's share shall be held as a separate trust and distributed by my Trustee for the following uses and purposes: A. To invest, reinvest, and keep the same invested in accordance with the powers vested in my Trustee, hereinafter named, pursuant to paragraph NINTH hereof, and to collect, recover, and receive rents, issues, interest, income, and profits thereof, and after deducting proper and necessary expenses of the trust. B. To use the net income from each child's share and so much of the principal as my Trustee, in his sole discretion deems advisable for the medical expenses, care, support, and maintenance, including education in preparatory school, college, and professional school, of my children. My Trustee may apply such income or principal for the benefit of my children directly or by payment to the person with whom my children reside or who has the care or control of my children. C. The principal held in each child's share shall be distributed to him or her upon his or her attaining the age of thirty (30) years. In the event either of my children have not attained the age of thirty (30) years, if he or she has attained or upon his or her attaining the age of twenty two (22) years, my Trustee shall distribute one-third (1/3) of the principal held in such child's share to him or her. If either child has attained or upon attaining the age of twenty five (25) years, an additional one-half (1/2) of the balance of the principal held in such child's share shall be distributed to him or her. Upon attaining the age of thirty (30) years, the balance of the principal held in such child's share shall be distributed to him or her. D. In the event of the death of a child of mine prior to complete distribution of the share set aside for him or her, such share, or the remainder thereof, shall be distributed, per stirpes, to his or her then living issue, if any, or if none, per stirpes to my then living issue, subject, however, to the provisions of paragraph FOURTH.