Designation of Joint Accounts assets

[boblink1]

Thanks guys

 

[t74]

Why do you not make your charitable gifts before your death? There are those that provide income to the donors after the gift is made.

 

[LdiJ]

Why do you not make your charitable gifts before your death? There are those that provide income to the donors after the gift is made.

His wife would still have to agree to that. I doubt that she would.

 

[boblink1]

Thank you for your help guys
Bob

 

[t74]

His wife would still have to agree to that. I doubt that she would.

It would tell him a lot about his wife. It is their money, but they are not his children. There is what is legally required, and then there is what is morally right.

His situation is one reason I advise my never married sons, one of whom has saved a significant nest egg, to avoid dating women with children. Others are the cost of custody battles and college. I have seen too many people, both men and women, have their savings wiped out by a new spouse.

It is better to be single than married to the wrong person.

OP, You have a legitimate concern and really need to discuss it with both an attorney and also a financial planner.

 

[boblink1]

Thanks T74,
FYI, I am a financial planner but I am not an attorney

 

[LdiJ]

It would tell him a lot about his wife. It is their money, but they are not his children. There is what is legally required, and then there is what is morally right.

If the OP has children of his own, then it might behoove him to discuss with his wife a way to ensure that all of the adult children share equally in the remainder of the estate once they have both passed. However I do not believe that is the case since he mentioned that his separate assets were in charitable trusts. It appears that he simply does not want his wife's children to get any of his share.

His situation is one reason I advise my never married sons, one of whom has saved a significant nest egg, to avoid dating women with children. Others are the cost of custody battles and college. I have seen too many people, both men and women, have their savings wiped out by a new spouse.

It is better to be single than married to the wrong person.

That is an incredibly cynical attitude to have.

OP, You have a legitimate concern and really need to discuss it with both an attorney and also a financial planner.

He can have all of the discussions that he wants. It won't change the legalities of the situation. He can do what he likes with his separate assets. The joint assets are going to pass to his wife and he cannot control what she does with them after he passes.

 

[boblink1]

I'm with you LdiJ, I have discussed my wishes with my wife but you never know what will happen.
This came about because my Living Trust account at Schwab does not allow me to name a beneficiary, they advised me that I can do that with the Living Trust but I have several Living Trust accounts and would like to designate different beneficiaries , mostly charity's, which I can not do in my Living Trust document. Anyway, I appreciate all the help that you guys have provided to me that will help me come up with a reasonable solution.

 

[t74]

As LD states, I am a cynic. I am also very sympathetic to your, OP, situation. We are currently dealing with the administrator of an estate who used undue influence and changed the original intent of the parents to equally share the estate between the children after the death of the first. to benefit herself and her friends amd to cut out the other child and the grandchildren. It is costly to challenge what she is doing and unlikely to change things necause how she title assets.. I sure hope these friends will care for her in her old age because the other side of the family is so disgusted that they want nothing more to do with her.

I find it hard to believe your situation cannot be changed to reflect your wishes more closely than you believe to be the case at this time. Please consult an estate specialist, not someone who does this as part of a general family law practice . .I am also concerned that you feel your wife cannot be trusted to carry out your wishes if you predecease her, She needs to remember that something similar could happen if the situation is reversed and her children left out in favor of your charities. A marriage without trust is not the way to live your last years. Please consider seeing a counselor to discuss your personal feelings resulting from your concerns. I am so sorry for your situation.

ETA: Sorry for the spelling errors; I really need new glasses or cataract surgery

 

[justalayman]

I'm with you LdiJ, I have discussed my wishes with my wife but you never know what will happen.
This came about because my Living Trust account at Schwab does not allow me to name a beneficiary, they advised me that I can do that with the Living Trust but I have several Living Trust accounts and would like to designate different beneficiaries , mostly charity's, which I can not do in my Living Trust document. Anyway, I appreciate all the help that you guys have provided to me that will help me come up with a reasonable solution.

If you are referring to a Schwab account that is owned by your trust, then your trust will list the beneficiaries and the amount each would receive from then trust.

You can have all the living trust accounts owned by the trust and list a beneficiary for each trust in your actual trust.

I’m not understanding why you say you can’t do this with your living trust.


Or you could set up multiple trusts with each trust owning one schwab account. You would name a beneficiary of the trust in the documents of each trust.

 

[boblink1]

Thank you for your post JA Layman, the Living Trust is set up under the first scenario, I haven't really thought about the second scenario but yes, it is an option, THANK YOU.
I don't think that I want to go down the path of the last scenario, I believe that it would complicate matters for the trustee(s) to deal with numerous living trusts
Bob

 

[justalayman]

If a common entity was trustee for multiple trusts, it surely could make their life harder.
But now I’m really not understanding you. You posted this

ut I have several Living Trust accounts and would like to designate different beneficiaries , mostly charity's, which I can not do in my Living Trust document.

But you just posted this:

the Living Trust is set up under the first scenario,

the (my) first scenario described simply listing a beneficiary and the asset designated they will receive in your trust documents.

In one post you say you cannot do that and in a subsequent post you say that is what you have done. Those statements are incongruent.

 

[t74]

If the funds in the trusts are not needed for your future support, would you not like to see the beneficiaries of your generosity make use of your gifts. As a financial planner, your outlook is likely to be accumulating wealth for the future; your clients seek your advice to help them create wealth not spend it.

I have a different philosophy other than leaving a large estate to be divided upon my death. I received an inheritance at a time when we were financially secure (not wealthy by any means but no longer struggling). I realized how much more I would have appreciated a little extra when my children were small and we were living month to month. Rather than leave my possessions - especially those sitting in my bank box - to be divided after my death, I am gifting them to people who will enjoy them now. What money a child might inherit later in life has gone to help purchase a home, replace a car with 200K miles, pay off student loans, ... It brings me great pleasure to see the recipients of our gifts enjoying them and having an easier life because we have made these gifts that are relatively small to us but huge to them as they are starting out.

I realize that you do not have the same situation. I would expect your charities would appreciate your gift whenever it is given, but would you not like to watch those who benefit from the gift make use of it?

A wise relative once said: "Being of sound mind, I spent it all."

 

[justalayman]

If the funds in the trusts are not needed for your future support, would you not like to see the beneficiaries of your generosity make use of your gifts. As a financial planner, your outlook is likely to be accumulating wealth for the future; your clients seek your advice to help them create wealth not spend it.

I have a different philosophy other than leaving a large estate to be divided upon my death. I received an inheritance at a time when we were financially secure (not wealthy by any means but no longer struggling). I realized how much more I would have appreciated a little extra when my children were small and we were living month to month. Rather than leave my possessions - especially those sitting in my bank box - to be divided after my death, I am gifting them to people who will enjoy them now. What money a child might inherit later in life has gone to help purchase a home, replace a car with 200K miles, pay off student loans, ... It brings me great pleasure to see the recipients of our gifts enjoying them and having an easier life because we have made these gifts that are relatively small to us but huge to them as they are starting out.

I realize that you do not have the same situation. I would expect your charities would appreciate your gift whenever it is given, but would you not like to watch those who benefit from the gift make use of it?

A wise relative once said: "Being of sound mind, I spent it all."

That’s a very great attitude and action.
I agree: it is a greater benefit to give a poor person a dollar than it is to give a wealthy person a dollar.

 

[boblink1]

My philosophy is a little different in that I don't believe in leaving an inheritance to relatives (or anyone) that I have not seen, spoken to or have not been in contact with "for years" but I absolutely have no problem leaving an inheritance to someone that I am/have "heard from" every now and then. So I feel that the way to go is to leave most of my inheritance to charities thus I would leave this world with more than I took from it.