During this 19th episode of the Simplifynance Podcast, host Rachel Stewart talks with Rebecca Hinton, Special Counsel with Taylor, Porter, Brooks & Phillips in Baton Rouge. Their discussion focuses on considerations when naming minor children as beneficiaries on retirement accounts and life insurance policies.

 

Episode Highlights:

 

• It's common to wonder if naming minors as beneficiaries is a good decision
• Introduction of special guest, Rebecca Hinton, and description of her specialty in estate and tax planning.
• Having young children is often a driver of important discussions like such as will prep, potential guardians and life insurance
• Biggest importance is protecting the minor...from themselves and others.
• Deciding on WHO will handle the money before age of majority
• What do to TODAY if we need a placeholder before formal estate plan is in place
• A will would include language that lays our rules for use of funds on behalf of the child(ren)
• Is document setup a long and hard process?
• Are laws different in Louisiana vs other states?

 

3 Key Points:

1. Work with an estate attorney and your financial advisor to find a custom solution that fits you and your family.
2. In Louisiana, we have forced heirship – children are entitled to a certain percentage of assets when a parent passes away, if under age 24.
3. Although the process is intimidating (and not fun), so many problems can be avoided with proper planning ahead of time.

 

 

 

Resources Mentioned:

• Rebecca Hinton
• Taylor, Porter, Brooks & Phillips