The potential pitfalls of a simple will when children come along

On Behalf of | Jul 17, 2019 | Blog

It’s common for millennials in Nevada and elsewhere in the nation to have a desire to keep things simple, even when it comes to estate planning. They often prefer assets that suit their portable lifestyles. Younger adults also tend to gravitate towards simple documents like wills.

A basic last will and testament can be fine for young adults who are just married with very few assets of their own. However, it’s an entirely different story when kids come along. At that point, individuals are often advised to consider setting up a trust. With only a will, a child inherits at the age of 18 if a parent passes away before then. The potential problem is that some adult children aren’t fully prepared to responsibly handle having access to all their inheritance at once.

A trust, on the other hands, can be set up with very specific terms. A trustee is also appointed. This is an individual who has the responsibility of making sure minor children or young adults are properly taken care of when the trust creator passes. This person can also work with adult children to set appropriate financial guidelines and boundaries. Additionally, trusts can be set up so that the beneficiary may eventually become a co-trustee if they are able to manage distributions responsibly. Some leeway can also be given to allow adult children to learn from their financial blunders.

A trust, estate and will planning lawyer typically advises clients to choose estate planning documents that meet their current and anticipated needs. Even if a simple will is all that’s desired, a trust can always be created later when needs and life circumstances change. A lawyer may recommend additional documents that can be useful, such as a living will, a durable or healthcare power of attorney, and a letter of intent.