New Jersey, like all states, has UTMA laws which set restrictions on how and when assets may be distributing to minors. Many states have UTMA laws which only dictate age requirements for custodianships established in wills or by the court, but New Jersey’s laws also apply to custodianships established in trusts as well as in wills.
New Jersey Statutes on Custodians
New Jersey Stat. §§ 46:38-1 and following:
- If custodian appointed in will or trust, custodianship ends at age 18 to 21.
- If custodian appointed by executor, transfers exceeding $10,000.00 must be authorized by court, and custodianship ends at age 18.
Even though some may think the law won’t apply to their estate because a New Jersey court must authorized a transfer only over $10,000.00, your estate may be larger than you realize. Once you consider life insurance proceeds, business assets, and other real property, the inheritance to a minor could be significant.
Getting Legal Help
Experienced New Jersey Estate Planning and Trust Attorney Elga Goodman can help you understand decide how to protect your beneficiaries. Contact us today at 973-841-5111.