What's an inheritance controlling age?
Protecting family wealth from poor decision making is one of Will Wizard’s primary goals. And it should be a primary goal of every Will owner.
One of most practical and simple ways to do this is to set a ‘controlling age’ in your Will. Will Wizard provides the option for Will owners to nominate a more mature controlling age that a beneficiary must obtain before they can have full autonomous control over their inheritance, rather than the standard 18 years of age when they would normally be able to take full control.
Via Will Wizard's guided online form, Will Owners can pick any age between 18 & 30 years of age. We recommend an age of at least 25 years.
This is an important protection that allows young beneficiaries to have access to their inheritance for education, housing and general welfare purposes, while limiting the risk of young beneficiaries making poor financial decisions with their inheritance.
Imagine a circumstance where you as an 18-year-old was given control over a vast sum of money. Do you think you would have been in a better position to make decisions over this money at that tender age compared to when you were 30?
There are bad investment decisions young beneficiaries might fall prey to due to naivety or being conned, and then there are the more physically dangerous ‘toy’ purchases to consider like a 1000cc motorbike or flashy car.
Limiting the use of an inheritance during these formative years to positive expenses such as housing, education and welfare can give a beneficiary the required time to mature and learn about what a precious financial gift they have been given, rather than allowing them to make rash decisions they may deeply regret later in life.
An inheritance ‘controlling age’ is one of many practical advantages of relying on smart, sophisticated Wills such as what we provide at Will Wizard.
Too many Aussies think that Wills are meant to be basic, simple documents that just name ‘who’ your beneficiaries are.
The truth is that Wills should be smart, detailed documents that plan for common future circumstances and problems, providing executors and beneficiaries with as much flexibility and options to manage, maximise and protect inheritances long-term.
With testamentary trusts these options and protections can span multiple generations, creating a protected financial legacy that reaches far into the future.
It turns out that smart Australians understand that it is as much about ‘how’ an inheritance is received as it is about ‘who’ receives the inheritance.