Is it better to put names of children on investments prior to your death or better not to?
My husband has a will and will leave one-quarter of his estate to his two sons (to be divided equally). He is wanting to go ahead and place their names on some investments (which would total the one-quarter now along with his name. These are children from a prior marriage and we have no children between us. I am hesitant to do this because I am afraid the next step will be to go ahead and give them their inheritance. They are 54 and 45 in age. Need some legal advice.
It is dangerous in the area of estate planning to answer a specific question about one limited aspect of a couples' estate without knowing all of the facts and circumstances regarding all assets, heirs, persons to whom the parties wish to leave money and property and what documents have and have not previously been executed. I am not ducking your question, I am indicating that the two of you have the need to consult with an estate planning attorney to go over the entire plan before you can figure out what do do with any one piece.
This answer is offered for informational purposes only. It is not offered as, and does not constitute, legal advice. Laws vary widely from state to state. You should rely only on the advice given to you during a personal consultation by a local attorney who is thoroughly familiar with state laws and the area of practice in which your concern lies.
The prior attorney offers sound advice. In addition, be aware that there are income and estate tax implications when gift giving is contemplated. So the tax aspects need to be explored here as well.
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Mr. Fromm is licensed to practice law in PA with offices in Philadelphia and Montgomery Counties and services clients throughout the state of Pennsylvania. He can be reached at 215-735-2336 or at the email address listed below. He is rated as an AV Preminent attorney from Lexis-Nexis Martindale Hubbell having the received the highest possble rating in legal ability and ethical standards. In addition, he has received a 10.0 rating from AVVO and recently was featured as a 5Star Wealth Manager in the Philadelphia Magazine, November 2009 issue on page 123.
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