workburnout
Recycles dryer sheets
Sorry this is a little long and I'd greatly appreciate any helpful advice.
I'm never married, no kids, have $600,000 assets (mostly investment accounts, both IRA and non-IRA) including house almost paid off. I live frugally and am earning and saving a lot, so those assets are quickly increasing. I'm in my 40's, do not wish to marry or have kids, and likely to live to be in my 80's or older, though there's no guarantee of course.
Currently, I have a will leaving almost everything to my sister, a little to my niece (in care of my sister who is her mother), and a small amount to charity. My sister is named executor.
Now, I need to change the will, to leave around 95% of of my assets to my niece who is only 13 years old at this time. I will leave around 5% to a local charity I volunteer with. I am in GA.
Ignore next 2 paragraphs if you want the shorter version -
I want to make sure my niece's mother (my sister) does not get my assets, because that would mean her husband would get them and squander them. My sister and I used to get along ok, until she started allowing her current husband to take more control and be disrespectful to me. It's nothing I did. He likes her to go along with whatever he wants, and has gotten more controlling of her the past 10 years they've been married. It is very sad but her choice to be with him. I sure don't try to interfere - I never have interfered - as it is her business and her choice. Part of her problem is she relies on him for their lifestyle - she works but it's not enough to live the lifestyle they want (middle class with lots of travel) without his job and income. Long sad story, but it is not going to change anytime soon.
Although my sister would be likely to give anything I left to her daughter (once her daughter turns 18) per my wishes, her husband (not my niece's real father) would try to get his hands on it and my sister would acquiesce to his wishes. He'd talk to her, until she agreed with him, and she'd end up taking the money that was supposed to go to my niece (if not yet 18) then he'd get it and spend it. Even if she did not have her current husband, she is a bit of a sociopath, and I don't say that lightly. She really is, yet I understand why due to the way she grew up - and I was still going to leave her my assets until things changed with her husband becoming more controlling.
In order to ensure my money upon death is handled correctly, I can do one of 3 things:
1. Change the beneficiaries on my investments from my sister to 13 yr old niece on all my investment accounts, and keep the will, leaving almost everything to my sister, as it is now. That would mean my sister would get control of my assets if I die in the next 5 yrs, since my niece is not 18. Not what I want. Then, in 5 years (if I'm still here which I expect to be), when niece is 18, I could do a trust and make her the executor of her own trust. The trust could give niece a certain amount of money at certain ages (some at 18, some at 25, etc).
Option 2. Get a trust done now, and name niece in everything, other than small donation to charity. The problem with that is I do not know who I'd name the executor. I don't have much family I trust, and have friends but feel awkward asking them to do that. The one close friend I have probably will not live that long, and the other friends I have we never have been close enough to discuss things like this.
Option 3. Re-do the will when niece becomes 18, leaving everything to her other than small amounts to charity. Still put her name as beneficiary on all investment accounts now, and hope I live 'til she turns 18.
What other options do I have, to ensure my niece gets all my assets, preferably not all at once when she turns 18? Ideally I'd want to spread it out over her life until she's maybe 35 or so. Likely, I will live a while and keep investing, so it will be far more than what it is now.
I really don't think I'll die soon but things happen. I wish I had more close family I could trust but unfortunately I don't. My family is full of twisted selfish people - always has been ever since I remember- and the last thing I want is for most of them to get my hard -earned money after I die. In fact, if my niece turns out to grow up to have the same negative qualities many people in my family have, I am going to end up switching my will or trust to give it all to charity. But for now, I plan to give it all to her.
I'm never married, no kids, have $600,000 assets (mostly investment accounts, both IRA and non-IRA) including house almost paid off. I live frugally and am earning and saving a lot, so those assets are quickly increasing. I'm in my 40's, do not wish to marry or have kids, and likely to live to be in my 80's or older, though there's no guarantee of course.
Currently, I have a will leaving almost everything to my sister, a little to my niece (in care of my sister who is her mother), and a small amount to charity. My sister is named executor.
Now, I need to change the will, to leave around 95% of of my assets to my niece who is only 13 years old at this time. I will leave around 5% to a local charity I volunteer with. I am in GA.
Ignore next 2 paragraphs if you want the shorter version -
I want to make sure my niece's mother (my sister) does not get my assets, because that would mean her husband would get them and squander them. My sister and I used to get along ok, until she started allowing her current husband to take more control and be disrespectful to me. It's nothing I did. He likes her to go along with whatever he wants, and has gotten more controlling of her the past 10 years they've been married. It is very sad but her choice to be with him. I sure don't try to interfere - I never have interfered - as it is her business and her choice. Part of her problem is she relies on him for their lifestyle - she works but it's not enough to live the lifestyle they want (middle class with lots of travel) without his job and income. Long sad story, but it is not going to change anytime soon.
Although my sister would be likely to give anything I left to her daughter (once her daughter turns 18) per my wishes, her husband (not my niece's real father) would try to get his hands on it and my sister would acquiesce to his wishes. He'd talk to her, until she agreed with him, and she'd end up taking the money that was supposed to go to my niece (if not yet 18) then he'd get it and spend it. Even if she did not have her current husband, she is a bit of a sociopath, and I don't say that lightly. She really is, yet I understand why due to the way she grew up - and I was still going to leave her my assets until things changed with her husband becoming more controlling.
In order to ensure my money upon death is handled correctly, I can do one of 3 things:
1. Change the beneficiaries on my investments from my sister to 13 yr old niece on all my investment accounts, and keep the will, leaving almost everything to my sister, as it is now. That would mean my sister would get control of my assets if I die in the next 5 yrs, since my niece is not 18. Not what I want. Then, in 5 years (if I'm still here which I expect to be), when niece is 18, I could do a trust and make her the executor of her own trust. The trust could give niece a certain amount of money at certain ages (some at 18, some at 25, etc).
Option 2. Get a trust done now, and name niece in everything, other than small donation to charity. The problem with that is I do not know who I'd name the executor. I don't have much family I trust, and have friends but feel awkward asking them to do that. The one close friend I have probably will not live that long, and the other friends I have we never have been close enough to discuss things like this.
Option 3. Re-do the will when niece becomes 18, leaving everything to her other than small amounts to charity. Still put her name as beneficiary on all investment accounts now, and hope I live 'til she turns 18.
What other options do I have, to ensure my niece gets all my assets, preferably not all at once when she turns 18? Ideally I'd want to spread it out over her life until she's maybe 35 or so. Likely, I will live a while and keep investing, so it will be far more than what it is now.
I really don't think I'll die soon but things happen. I wish I had more close family I could trust but unfortunately I don't. My family is full of twisted selfish people - always has been ever since I remember- and the last thing I want is for most of them to get my hard -earned money after I die. In fact, if my niece turns out to grow up to have the same negative qualities many people in my family have, I am going to end up switching my will or trust to give it all to charity. But for now, I plan to give it all to her.