Legal Question in Civil Litigation in New York

Inheritance/In Trust For Account

My 3 children, ages 8, 10 and 13, recieved inheritance checks of 15k each made out to my wife ''as custodian for'' them. What does that mean? The bank informed us that we need to set up an ''in trust for'' account for them them. Is this correct and can the money be used before the age of 18 for let's say a computer or car? If we wanted to transfer the full amount into their existing 529 savings account could we claim part of that as a deduction on our income tax?


Asked on 1/02/08, 3:50 pm

1 Answer from Attorneys
Debra Palazzo Law Offices of Debra Palazzo, LLC

Re: Inheritance/In Trust For Account

Depending on the terms of the will, the money generally can be used only for the health, education and welfare of the minor child. Ex: private school, college, medical bills,etc.

So, yes the money can be used before 18 for these limited purposes.

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Answered on 1/02/08, 9:17 pm


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