Trusts for Minor Beneficiaries

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A trust may be just the right tool to protect your minor children or other beneficiaries under the age of 18. These minors likely rely upon you for financial support. A trust can hold assets for the minor child’s benefit if you pass away or for other purposes as well. They give you better control of how your child can spend the money so they use it responsibly, even if you are no longer there to help them.

At Kondori & Moorad, LLP, our dedicated estate planning attorneys explain trusts for minor beneficiaries and what they can do for you. We can help you protect your loved ones and navigate this complex area of law.


A trust is a formal legal entity formed under state law. Its purpose is to hold assets and exercise ownership rights much like an individual person or business can do. Trusts are used for countless purposes, such as:

  • Holding assets for a person with special needs
  • Managing estate tax and other costs for your estate
  • Protecting the ownership rights of a minor child
  • Maximizing a child’s inheritance
  • Limiting a minor’s access to funds until a predetermined time

There are many types of trusts that may fit your needs. A revocable trust can be altered or terminated at any time. This protects your minor’s rights while giving you control over the assets while you live. An irrevocable trust cannot be terminated, but may provide better asset protections.

An experienced estate planning attorney understands these nuances and what best fits your circumstances.


A “trustor” is the person creating and adding assets to the trust. For example, if you create a trust and add assets to it, you are the trustor.

A beneficiary is the person entitled to the benefits or assets in the trust, subject to its limitations and rules. Minor children are often trust beneficiaries to help protect their future if their parents or guardians should pass away.


Many parents want their assets to go to their children should they pass away unexpectedly. The problem is, children cannot own assets directly or inherit until they reach the age of 18 in most states. Your child may not be ready for that much money or responsibility right out of high school. A trust that names a minor beneficiary can solve many of these common estate planning challenges.

A trust can provide the following benefits to your minor child:

  • Hold and Protect Assets: As children cannot own assets on their own, someone or something must control those assets. Without a trust, a court may appoint a conservator or other person to manage your child’s assets. It may not be someone you want, and it could create costly management fees. A trust can help alleviate many of these concerns.
  • Create a Destination for All Assets: As part of your estate plan, a trust can operate as the destination for several other beneficiary designations. For example, you may include your children as beneficiaries on life insurance policies, retirement accounts, and other financial accounts. The trust can hold assets for their benefit when correctly structured.
  • Set Conditions: A trust lets you set conditions about how and when your minor beneficiary can spend trust assets. Straight inheritance without a trust means your child could have uncontrolled access to a large sum of money as soon as they turn 18. Your child may spend the money on frivolous things, rather than an education, a home, or other responsible purchase. You can create options and limitations to help your child mature into full access to their inheritance.


At Kondori & Moorad, LLP, our skilled and compassionate estate planning attorneys work hard to protect your children. We can create and customize a trust for a minor beneficiary that works for you and your loved ones. Contact us today to get started.

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