06-08-2015, 01:08 AM
My father created a revocable Trust, and gave detailed instructions (and limitations) on how assets were distributed and used. Of course, any good fool can outwit a fool-proof system, but it helped a school teacher with virtually NO understanding of wealth building avoid mistakes (well, most mistakes).
The Trust gave me an initial lump sum; most of which I was advised to place into blue chip stock (time in the market being better than timing the market). I managed to put about 10% to work before my divorce removed the remainder.
The 2nd “portion” was already invested, and generating a nice income stream. The will advised that I not touch the capitol until I studied and learn exactly how it was contracted. Dad was smarter than me, and it remains exactly as my father left it.
The next largest portion was in EE bonds (with instructions to not cash them until maturity). I have been doing just that, which is how I’m building my portfolio now.
And a final sum I could touch for five years.
In this scenario, even a fairly contentious devoice protected the wealth my father left me.
Set up a trust, with well thought through means of distributions.
Hope that helps.
Ronn
The Trust gave me an initial lump sum; most of which I was advised to place into blue chip stock (time in the market being better than timing the market). I managed to put about 10% to work before my divorce removed the remainder.
The 2nd “portion” was already invested, and generating a nice income stream. The will advised that I not touch the capitol until I studied and learn exactly how it was contracted. Dad was smarter than me, and it remains exactly as my father left it.
The next largest portion was in EE bonds (with instructions to not cash them until maturity). I have been doing just that, which is how I’m building my portfolio now.
And a final sum I could touch for five years.
In this scenario, even a fairly contentious devoice protected the wealth my father left me.
Set up a trust, with well thought through means of distributions.
Hope that helps.
Ronn