Safeguarding Your Child’s Inheritance During Divorce
There are many sources of concern during a Florida divorce, and for some parents this includes worrying about familiar financial stability and children’s inheritances.
An Orlando divorce lawyer will listen closely to your worries and can share with you how to end your marriage while taking care of your own financial needs and protecting your child’s rightful inheritance. There are important strategies and legal considerations to ensure your child’s financial future remains secure amidst the turmoil of divorce.
Legal Tools for Preserving Inheritance
During a divorce, the asset division process can be legally intricate. If you’re a parent with the intention of keeping resources aside for your children, it’s crucial to address this matter proactively. The inheritance you plan to leave for your child is a testament to your desire to provide for their future. Wanting to shield these assets from any potential disruption due to the divorce is natural and there are legal tools for protecting resources.
- Drafting prenuptial and postnuptial agreements. These agreements allow couples to outline the division of assets, including inheritances, should the union come to an end at a later date. A well-drafted prenuptial or postnuptial agreement provides clear guidelines for the treatment of inheritance assets.
- Establishing trusts. Creating a trust can be a powerful way to safeguard your child’s inheritance as a trust clearly dictates how and when funds are distributed. These legal documents ensure assets are used for your child’s benefit and that the resources are protected from division during divorce proceedings.
- Maintaining separate accounts. Keeping assets you have designed to be inheritable assets in separate accounts clearly delineated them from other funds. This is important because it can be easier to illustrate that these funds belong solely to your child and are non-marital in nature, reducing the risk of them being treated as marital property and dispersed during a divorce.
- Keeping documentation. Thoroughly documenting the source and history of inherited assets is essential. This can include maintaining records of inheritance documentation, account statements, and legal agreements related to the inheritance.
- Committing to open communication. Discussing your intentions with family members can help set expectations. For example, informing your spouse and, if age-appropriate, your children of how assets are structured and why.
Working with a legal professional will connect you with the right strategy for your unique circumstance. In Florida, as an equitable distribution state, marital assets are divided fairly but not necessarily equally during divorce and inheritances are generally considered non-marital property if they are kept separate from marital assets. Not commingling these assets is essential.
Consult with a Florida Family Lawyer
To protect your child’s inheritance effectively, consult with an Orlando divorce lawyer. Your attorney can help you build a solid case to establish the non-marital nature of the inherited assets and use the services of an estate planning attorney. Then, they will remain outside the scope of division.
Were you planning to gift assets to your children and are now worried about them being distributed during the divorce process? Talk to the family law attorneys at Donna Hung Law. Call 407-999-0099 or contact us online to book your consultation.