Handing money out to children is an interesting concept that a lot of people think about and aren’t sure what the answer should be. Generally kids aren’t able to handle money very well until they are in their 30s or sometimes older. The first money that they inherit from their parents disappears because they buy new things or make loans to friends and pretty soon there is not much left. Most of our clients spread the money out. They hand out a portion of their estate more and more over time. Generally the income that the trust earns for the kids is not handed out by the trustee until the kids are old enough to handle the income. Trustees are given very broad discretion to hand money out. A good trustee can give money when a beneficiary wants to buy a home or invest in a business that is thought through. Hence choosing your trustee is really important. Setting terms where your kids don’t have a lot of money upfront is also very important.