BMO Nesbitt Burns
885 West Georgia Street
- Are you concerned your son may adopt a "vacation” lifestyle if he receives his inheritance all at once?
- Do you have a daughter who can’t manage her own finances responsibly, or is too easily influenced by others?
you worked hard to accumulate your wealth and are now concerned that an
outright gift of large sums might be detrimental to your children and
Parents often agonize over children’s lack
of maturity or behaviour problems and worry that matters will only
become worse once the child receives his or her inheritance.
"caretaker” or "protection” trusts have been created to preserve wealth
and provide financial security for such family members. Funds are
parked in the trust and a gatekeeper trustee, such as a trust company,
is given discretion to make distributions. Fixed distributions may also
be required in stages over a period of time based on the age of the
beneficiary, or the number of years since the death of the parent.