- my iParenting
- quick clicks
- grandparents today articles
- grandparents today q&a
- community & groups
- research baby names
- prepare a birth plan
- content channels
- ip channel rss feeds
- read birth stories
- read parenting stories
- recommended books
- e-newsletters
- safety recalls
- ip diaries
- ip store
- mom of the month
- dad of the month
- editor's letter
- letters to the editor
From Our Sponsors
- e-newsletters
- Sign up to receive our free weekly e-newsletters
- award-winning products
The iParenting Media Awards program helps parents find the best products for their families.
Leaving an Inheritance
How to Provide for Your Grandchildren in Your Will By Sue Marquette Poremba
"Under current law, a grandparent can pass up to $12,000 a year to a grandchild without being taxed," says Simpson. That is $12,000 per grandparent, he adds. If Grandma and Grandpa are married they can jointly provide a tax-free gift of up to $24,000, according to Simpson.
Some grandparents want to leave a gift for a specific reason, such as to be put toward a grandchild's education. Or they might be concerned that money given to the child might be spent by the parents. In this case, Cassar says grandparents should consider setting up a trust fund that designates when and how the grandchild can use the money. The grandparent also can control who handles the trust fund.
No matter how the grandparent decides to set up the estate, experts recommend using an attorney who specializes in estate planning.
"Estate law is really a game of words, and it's important that you have someone who knows the rules," says Sember. "Different states have different rules, so it is really important to see an attorney who can do this for you the right way."