Estate planning is not a one-size-fits-all endeavor. Each family is unique, and you may not want to provide for all of your loved ones in exactly the same manner.
For example, you may have some older, established heirs who can unquestionably handle a lump sum inheritance without any difficulties.
On the other hand, not everyone is a great money manager. It is possible that you have someone on your inheritance list who has demonstrated a history of poor money management. You could be concerned about this individual spending his or her inheritance much too quickly.
In a case like this you could fund a spendthrift trust for the benefit of this relative. The trustee will administer the funds and make distributions to the beneficiary in accordance with your wishes, but the beneficiary will have no access to the principal.
Special needs planning is another thing to take into consideration. Some families have a person with disabilities in the fold, and you have to proceed cautiously when you are providing for someone who has special needs.
Many people who have disabilities rely heavily on government benefits to pay for very expensive treatments and ongoing care. Giving someone who is receiving benefits a large inheritance can jeopardize this individual’s eligibility.
There are things that can be done to improve the quality of life of someone with special needs without impacting his or her benefits. If you would like to find out how to proceed to this end simply take a moment to arrange for a consultation with a licensed and experienced Cleveland OH estate planning lawyer.