Revocable Living Trust

Select a custodian and a trustee. Decide when and how you want the child to receive the funds from the trust. Start drafting your trust documents. Consult with a trust fund attorney.

As of 2019, attorney fees can range from $1,000 to $2,500 to set up a trust, depending upon the complexity of the document and where you live. You can also hire an online service provider to set up your trust. As of 2019, you can expect to pay about $300 for an online trust.

Trusts for minors, or minor's trusts, are very specific types of trusts that are used to hold and distribute property or assets to minors. They typically provide instructions that the money or property assets will be held in trust until the minor reaches the age of majority.

A Minor's Trust is designed to manage and protect assets for a child until they reach a specified age. Some minor trusts are intended to provide funds to benefit a minor during childhood. Others may not allow any expenditure, with the goal being simply to hold and protect funds until the minor reaches adulthood.

Children who are under the age of 18 are deemed to lack legal capacity to receive a gift. Where a gift in your will is going to a child under 18 (which may be a child of a deceased beneficiary), you can give your executors and trustees the option to make the gift to the child's parent or guardian.

What happens to the death benefit if you name a minor as a beneficiary? If your beneficiary is under the age of majority when you die, the death benefit will be given to a custodian of the funds to hold on to. This guardian can be court-appointed, but the court will most likely choose the surviving parent.

A trust fund is a legal entity established for the purpose of holding assets for the benefit of specific people, or even for an organization. Children are frequent beneficiaries of trust funds because trust funds can safeguard your assets and make sure they are used for your children's stewardship.

Family trust cost between $100-$700 to set up (depending who you get to do it and which state you live in NSW charge a $500 fee whereas most states like QLD charge nothing, see here for details). When setting up a family trust, either get your solicitor to fix you up or use cheaper online legal services.

A well-planned, well-managed trust can give your child or heir a solid head start on adulthood. It can also provide them with guaranteed financial security later in life, or ensure your assets are distributed only to certain family members in the unlikely event of your child's untimely death.