Reply to Testimentory trust for minor children - what terms would you put on it?

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[quote=Anonymous]OP here. We will be talking to the lawyer, but we wanted to prethink what we might want to ask about in order to focus the conversation. We don't have any prior experience with this kind of planning so we don't want to come into the conversation too lost.

I think we want the funds to be free enough that the kids can be supported in their goals easily, but we want to protect them from gross misuse of the funds by their own poor decisions or from pressure from a friend with terrible advise. I figure we're talking about enough money that it can really help, but it's not enough to be more than a leg up for a young adult who is making strategic decisions.

We were considering giving the guardians access to a small amount up front and then access to pay for extras (education related expenses, like music lessons). I assume (but will check) that the social security payments for support of minors would also fall to them. How much up front is an interesting question.

Then we were thinking that  the rest of the funds should sit until the child reaches college, at which point they could access the trust to pay for tuition or training. After that, they could access it again to pay for a house. If any remains after this, they get access to the rest at a certain age.

Or, we thought about just specifying access to a portion at different ages. That way they can do whatever they want, but they won't blow the entire amount at once. They'd have to stupid three times to loose it all.

I thought about directing it be invested and only pay out income, but we're not talking about that much money. I figure we run strong risk of one of kids needing to access the principal to cover college or that they might wisely just want to buy a house outright.

Anyway that's the source of our questions. Very interested to know what works in real life for families that can leave something, but not millions.

I appreciate the cross section of perspectives.

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