Do you want your mother-in-law who lives in a 55+ community with an active social life to go from being “fun Grandma” to “Guardian?” Or would your brother and his wife be a better fit? Naming guardians for your children through a pour-over will (as part of a Trust Package) allows you to have a voice in this incredibly important decision. Don’t make the court and your family guess what your wishes were.
Beth is great! She is fun and kind but right now she is also a hot mess. She is struggling to get her spending habits to align with her income and is not making great life choices. She is not in a place in her life to benefit from a lump sum inheritance. A Trust allows your trustee to provide for Beth’s health, safety, and welfare, but to also delay distribution until Beth is ready to benefit from her inheritance.
If you wait until your parent lacks the capacity to make decisions about their health and finances before helping them set up their estate plan, you may have to petition to the court to become their conservator (think: lost time, delay in providing needed care, attorneys’ fees). Creating a solid financial plan, plus durable and medical power of attorneys (at a minimum) will help allow you to step in and provide your parents with the care they need, as soon as they need it.
Your family’s primary source of income is from your single member LLC. What happens to the business if you die? Do you want your family to continue to operate the business or liquidate the assets? A Trust allows you to answer these questions and provide a solid plan for your family’s future.