Estate Planning in Stuart When You Have a Child With an Addiction

Various sources agree that addiction is a mental illness. Parents of children with addictions know this only too well, and they may attempt all kinds of strategies to help their young ones beat their addictions. But at a certain point, you might have to accept that your child will continue to struggle with addiction for the foreseeable future. If you’re not sure whether your child will ever beat their addiction, how do you approach estate planning in Stuart?

How Do I Prevent My Adult Child From Spending Their Inheritance on Their Addiction? 

If you have a child with an addiction, you might be concerned about them spending their inheritance irresponsibly. This is a key concern for many parents, and it might require you to make certain adjustments to your estate plan. For example, a Last Will and Testament may not provide enough control over the inheritance. A Will often only determines what an adult child inherits and not how they receive these funds.

An obvious solution is the creation of a trust, either within your trust (a testamentary trust) or a separate standalone trust. With a trust, you can provide your adult child with gradual distributions or discretionary distributions in an independent trustees discretion. Spendthrift provisions can facilitate these distributions, and your adult child will not control these funds nor receive their inheritance all at once. Will this prevent them from spending your money on their addiction? Not once the funds are given to them, but it will prevent them from spending too much at any given time.

If you want to exert greater control over the child’s inheritance, consider putting conditions on these distributions. For example, your trust might only distribute the inheritance when your adult child completes rehabilitation and remains clean for at least four years. With this approach, you can feel more hopeful that they won’t spend their inheritance on drugs.

Remember, some forms of addiction do not involve drugs. According to UF Health, Florida has twice as many compulsive gamblers as the national average. If your adult child has a gambling addiction, they may lose their entire inheritance during an ill-advised trip to the local casino or racetrack.

You might instruct your trustee to use the beneficiary’s inheritance for direct payments of rent, utilities, and other living expenses. With this approach, the beneficiary never actually gets access to the money. However, they still benefit from their inheritance while enjoying a high standard of living.

At the end of the day, there are many ways to approach this difficult situation. To learn more about the most appropriate choice, discuss your unique circumstances with a lawyer.

Can a Stuart Estate Planning Attorney Help? 

Estate planning is a highly personalized process, and your strategies should reflect your unique family situation. An estate planning lawyer in Stuart can assess your circumstances and determine the most appropriate solutions. An adult child with an addiction can certainly complicate the estate planning process but it is still possible to provide for your loved ones after your passing. Speak with Kitroser Lewis & Mighdoll today to learn more about the next steps.

Sources: 

flgaming.gov/faq/#:~:text=In%20Florida%2C%20a%20variety%20of,on%20certain%20Indian%20tribal%20lands.

medicalnewstoday.com/articles/is-addiction-a-mental-illness