Loving parents or grandparents may wish to leave assets, including life insurance and retirement accounts, to beneficiaries who are at this time legally underage.

Generally, in California a minor child is not, by law, considered able to manage his or her own assets.  So if a minor child does inherit, it falls to a court-sanctioned adult to manage those assets until the minor reaches the age of 18 or even older, depending on the terms of the bequest.

But not to worry:  it isn’t primarily the court’s choice. The benefactor making the bequest should appoint a “guardian of the estate” – also called “guardian of the property” – a person designated to handle that specific inheritance. This role differs from a guardian nominated by the child’s parents to care for the child should the parents both die – that role is referred to as the “guardian of the person.” The estate guardian can be the same person as the personal guardian, but not necessarily.

In some cases, a will may contain what is called a “testamentary trust provision” – naming a trustee to manage a minor’s inherited property until he or she reaches the designated age. The trustee may also be the same person as the child’s guardian(s), but again, not necessarily.

Wow. It sounds pretty complicated. And don’t kid yourself. It is.  That’s what I mean by this isn’t kid stuff.  As an experienced estate planning attorney, I can help you navigate the legal requirements for bequests to minors, testamentary and trust matters, and more.

If you have questions or issues regarding any estate planning matters, I am here to inform and guide you through each step of the process. Please contact us at 818.956.9200.

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Glendale, CA 91207

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Sherman Oaks, CA 91403