Can I prevent a beneficiary from squandering an inheritance?
If you have a beneficiary who concerns you, either because of his/her spouse or because he/she has an addiction/gambling problem, one option is to use a trust to pass down an inheritance. The assets legally belong to the trust until they are distributed to your child, meaning they will not be subject to the division of assets in the event of divorce, nor can they be squandered if the Trustee provides oversight as to the use of the assets.