Can you trust your children to spend their inheritance wisely?
The last few years have seen an array of celebrities vowing not to leave their vast fortunes to their offspring. Well known faces such as Nigella Lawson, Andrew Lloyd Webber and Sting are pledging to leave their millions to the charities they have supported during their lifetime and leave their legacy that way.
Most recently, Gordon Ramsey has vowed not to leave his four children his wealth, stating that he would not want his estimated £113 million estate to ‘ruin’ them and wants his children to continue his strong work ethic throughout life.
Whilst we may not all have millions in the bank, this does beg the question; what can be done to protect our hard earned money from our spendthrift children?
Whether you already have concerns about the spending habits of one of your loved ones or whether you wish to instil your monetary values firmly into the future generations, putting some or all of your estate in trust may offer a flexible solution.
It is important to think about the following :-
- Who to choose as trustees to oversee and manage any trust fund that may span over decades?
- What should be included in a Letter of Wishes to guide your trustees as to using the funds.
- If you only have concerns over one child’s spending, then might placing their share into trust be more appropriate rather than your whole estate?
- Is it better to leave a spendthrift child a property instead so they have a roof over their head, with trustees having the legal ownership of this property?
- Should I follow the celebrities’ example and create a charitable foundation in my Will or leave money to an existing charity?
There are many more questions that our Wills & Estates specialists can discuss with you to achieve a solution that allows a degree of control on future spending after you have gone.
For more information please contact Zoe Perry on 01562 512406 or e-mail firstname.lastname@example.org