Does mother need a trust for son with history of drug abuse?

[Shanew]

What is the name of your state? Michigan
I am asking this question for my mother. She is a widow with 4 adult children. She owns her house free & clear and has an investment account of about 300K. Upon her death, she wants the proceeds from the sale of her house and the investment account to be equally divided between her children, with one exception. Her youngest son, 46 has a long history of drug addiction with multiple relapses. She does not want him to get his entire inheritance at once, and wants another sibling to set up a money market account and cut a check for $1,000 a month to her son, subject to random drug testing. If he flunks the test, the $$ goes back into the account. If he pre-deceases his siblings, the $$ will be equally divided between the surviving siblings. If he has a child/children the money will go to them. My mother is frugal and does not want to pay a lawyer for estate planning so my sister is drawing up will on a legal website. My sister spoke with a representative from the legal website who said my mother can accomplish her wishes regarding my brother within the body of the will under special requests. I am highly doubtful that this can be done and would like to know if a trust is the only way to go regarding her wished regarding my brother. I am concerned that he can contest this arrangement. Thank you.

 

[PayrollHRGuy]

I think it could be done in a will but not by your sister on a website. A trust for your brother would likely be the smartest way to go but there too she should use a lawyer.

You might want to remind your mother of the phrase, "Pennywise Pound Foolish."

 

[Shanew]

I think it could be done in a will but not by your sister on a website. A trust for your brother would likely be the smartest way to go but there too she should use a lawyer.

You might want to remind your mother of the phrase, "Pennywise Pound Foolish."

I have a very high frustration level with my mother and my sister. My sister's heart is in the right place by wanting to help mom save $$. She completed the will yesterday and it is under review by the legal website. I need to be prepared with an argument for hiring a probate attorney. Thanks!

 

[adjusterjack]

The obvious argument for hiring a trust attorney (not a probate attorney) is that, without one, it could create an irreparable mess after the demise of your mother.

Your mother would be wise to create a "spendthrift trust" (google it) now and fund it with money in an account owned by the trust with specific instructions as to how the trustee is to disburse the funds after her death.

If all the will says is "daughter, set up an account and give your brother $1000 per month" that isn't going to cut it.

 

[Shanew]

The obvious argument for hiring a trust attorney (not a probate attorney) is that, without one, it could create an irreparable mess after the demise of your mother.

Your mother would be wise to create a "spendthrift trust" (google it) now and fund it with money in an account owned by the trust with specific instructions as to how the trustee is to disburse the funds after her death.

If all the will says is "daughter, set up an account and give your brother $1000 per month" that isn't going to cut it.

I looked up Spendthrift trust and it sounds like the perfect document. I called an estate planning atty close to my mom and was told that her best option is to set up a trust to accomplish her wishes. They offered a free consultation and I'm encouraging her to go. She is stubborn and cheap. If she doesn't do this right, I could see my brother contesting this and lots of time and $$ spent in probate court. It could get real ugly. Thanks for your advice!

 

[Zigner]

I looked up Spendthrift trust and it sounds like the perfect document. I called an estate planning atty close to my mom and was told that her best option is to set up a trust to accomplish her wishes. They offered a free consultation and I'm encouraging her to go. She is stubborn and cheap. If she doesn't do this right, I could see my brother contesting this and lots of time and $$ spent in probate court. It could get real ugly. Thanks for your advice!

Offer to pay for it.

 

[Shanew]

Offer to pay for it.

I have offered to pay for it. My sister's husband has also offered to pay for it. She told my sister that is doing the onlline will that we are being controlling.

 

[Ohiogal]

What is the name of your state? Michigan
I am asking this question for my mother. She is a widow with 4 adult children. She owns her house free & clear and has an investment account of about 300K. Upon her death, she wants the proceeds from the sale of her house and the investment account to be equally divided between her children, with one exception. Her youngest son, 46 has a long history of drug addiction with multiple relapses. She does not want him to get his entire inheritance at once, and wants another sibling to set up a money market account and cut a check for $1,000 a month to her son, subject to random drug testing. If he flunks the test, the $$ goes back into the account. If he pre-deceases his siblings, the $$ will be equally divided between the surviving siblings. If he has a child/children the money will go to them. My mother is frugal and does not want to pay a lawyer for estate planning so my sister is drawing up will on a legal website. My sister spoke with a representative from the legal website who said my mother can accomplish her wishes regarding my brother within the body of the will under special requests. I am highly doubtful that this can be done and would like to know if a trust is the only way to go regarding her wished regarding my brother. I am concerned that he can contest this arrangement. Thank you.

That will can easily be decimated. Your sister will profit from the will and it can be found invalid and thrown out. A lawyer needs to write the will -- a lawyer who will not benefit. Your mother can be frugal but in this case she is penny wise, pound foolish. Your sister can get in trouble for the unauthorized practice of law and face charges. Does she want that? Even if not criminal, the bar of Michigan can prosecute her.

 

[Ohiogal]

I looked up Spendthrift trust and it sounds like the perfect document. I called an estate planning atty close to my mom and was told that her best option is to set up a trust to accomplish her wishes. They offered a free consultation and I'm encouraging her to go. She is stubborn and cheap. If she doesn't do this right, I could see my brother contesting this and lots of time and $$ spent in probate court. It could get real ugly. Thanks for your advice!

And the will would be thrown out if it is found that your sister prepared it and she is not an attorney. If she is an attorney, she could possibly be disbarred.

 

[xylene]

Bluntly this plan is terrible. If he's an addict it won't matter.

Basically it is 1000 a month to fake drug tests.

 

[PayrollHRGuy]

My sister spoke with a representative from the legal website who said my mother can accomplish her wishes regarding my brother within the body of the will under special requests.

I doubt that representative was a lawyer licensed to practice law in Michigan.

 

[bcr229]

I looked up Spendthrift trust and it sounds like the perfect document. I called an estate planning atty close to my mom and was told that her best option is to set up a trust to accomplish her wishes. They offered a free consultation and I'm encouraging her to go. She is stubborn and cheap. If she doesn't do this right, I could see my brother contesting this and lots of time and $$ spent in probate court. It could get real ugly. Thanks for your advice!

My mother went cheap on her Will (DIY online document). It was not witnessed properly so it ended up invalid and she passed away intestate. Her trying to save a few hundred in attorney fees ended up costing us heirs a lot more than that, and her estate was fairly simple (basically sell everything and split it three ways).

Also my grandparents set up a similar trust for one of my uncles, and for the same reasons. It set up a lot of friction and stress between my beneficiary uncle and his trustee sibling. I would look into having a disinterested third party or law firm be trustee, as that entity won't be guilted or bullied into disbursing money to the beneficiary outside of the trust rules.

 

[LdiJ]

My mother went cheap on her Will (DIY online document). It was not witnessed properly so it ended up invalid and she passed away intestate. Her trying to save a few hundred in attorney fees ended up costing us heirs a lot more than that, and her estate was fairly simple (basically sell everything and split it three ways).

Also my grandparents set up a similar trust for one of my uncles, and for the same reasons. It set up a lot of friction and stress between my beneficiary uncle and his trustee sibling. I would look into having a disinterested third party or law firm be trustee, as that entity won't be guilted or bullied into disbursing money to the beneficiary outside of the trust rules.

There isn't enough money involved to have an outside party be the trustee. It won't pay an outside party enough for them to be willing to do it.