Using a Trust to Protect Your Children’s Inheritance from Creditors and Divorce
Using a Trust to Protect Your Children’s Inheritance from Creditors and Divorce
When planning for your family’s future, one of the most important decisions you can make is how to protect your children’s inheritance. Without the right legal structure, the assets you leave behind may be vulnerable to creditors, lawsuits, or even a child’s divorce. Fortunately, a properly drafted trust can offer strong and lasting protection.
At Jack Weissman, Attorney at Law, we can provide legal assistance to the Brooklyn public and help families create secure, effective estate plans that safeguard their loved ones’ financial futures.
Why a Trust Offers Strong Protection
A trust allows you to transfer assets to a trustee, who manages those assets for the benefit of your children. Unlike simply leaving assets outright in a will, a trust keeps property legally separate from your child’s personal ownership. That separation is what creates powerful protection.
Here’s why trusts can be a smart choice for preserving your children’s inheritance:
1. Protection From Creditors
If your child experiences financial trouble—debt, lawsuits, or bankruptcy—assets held in a properly structured trust typically cannot be reached by creditors. Because your child does not technically own the assets, creditors cannot seize them. This helps ensure that the inheritance remains intact, regardless of future financial challenges.
2. Shielding Assets in Divorce
Divorce can threaten inherited assets if they are mixed with marital property. However, assets inside a trust remain separate and may avoid being divided with a spouse. A trust helps keep your child’s inheritance insulated from divorce proceedings and ensures those assets stay within your family line.
3. Long-Term Management and Control
Trusts allow you to set rules for how and when your children receive their inheritance. You can choose to:
- Delay distribution until they reach a certain age
- Provide funds gradually over time
- Allow distributions only for specific needs like education or medical expenses
This level of control ensures that your children receive support without the risk of mismanaging the inheritance.
4. Protection From Future Risks You Can’t Predict
Life is unpredictable. Job loss, relationship changes, illness, or unexpected financial burdens can all impact your children’s lives. A trust acts as a safeguard by keeping your assets protected no matter what the future brings.
5. Ensuring Your Intentions Are Honored
Unlike a will, which transfers assets outright, a trust can preserve your wishes for decades. You can structure it to benefit grandchildren, provide for special needs situations, or keep family property in the bloodline. Trusts allow flexibility and stability that standard inheritance arrangements simply cannot.
Work With a Brooklyn Estate Planning Attorney
Setting up a trust requires careful planning and precise legal drafting. At Jack Weissman, Attorney at Law, we help Brooklyn families design trusts that reflect their goals and protect their children’s inheritance from divorce, creditors, and other threats.









