Trust fund and FA

sk8rmom
Wed, 22 Jul 2009 13:08:15 +0000

OK, I need to reiterate that using trust (which has no formal constraints) for immediate expenses was my thought, not Sis’, put forward naively, and thoroughly rejected as a bad idea by CC experts (which is why I posted here in the first place). So she will not do this, and will explore the 529 option instead.

Low-life ex has no job and is expected to contribute only $300/mo by court order.

Yes she should get a job. I really do not wish to defend her unwillingness to do this, but some of you may recognize that “practical” is to “artist” as “snowball” is to “hell”.



We can’t really judge her or tell her how to live her life…many people don’t earn close to their “potential” and that certainly doesn’t make them terrrible parents. I think that’s especially true of the artists among us - who knows when their talents will be recognized?

Before she makes these decisions, she really needs to know if she’ll be qualified for the simplified needs test. Has she determined that yet? Will she sign her son up for free/reduced lunches if eligible?

Does she need assistance paying living expenses for the child and has she investigated other means of support to do that? If she’s amassing credit card debt to buy food and clothing for him, that’s a bad idea and that bubble may burst before he goes to college. That is a more immediate problem, imo.

The question of saving for college really depends on the boy’s college choices. It could hurt him if the trust stays in his name and he loses all chance at grants, but it would also be a big help if he’s gapped. He’s a little young to make decisions about his future, so perhaps she should just take care of the present and investigate the move to a 529 in her name.