With divorce rates high, it is not uncommon for a parent to wish to protect his or her child’s inheritance from a daughter-in-law or son-in-law. If you leave an inheritance outright to a child, his or her natural inclination may be to share (commingle) that inheritance with his or her spouse. Later, if a divorce occurs, those assets may be split. You can avoid this commingling by segregating the funds for your child in a SAFE Trust. The SAFE Trust can hold the assets for your child without allowing the assets to be commingled providing better protection than giving the assets outright to a child.
