Calabasas elder lawyer

Downsizing with Your Children’s Inheritance in Mind: Advice from a Calabasas Elder Lawyer

As an elder lawyer in Calabasas, I’ve noticed a recurring theme when helping families navigate the downsizing process. Parents often struggle to part with possessions because they hope to pass them down to their children. Yet when meeting with adult children after their parents’ passing, we frequently hear a different perspective: they feel overwhelmed by the sheer volume of inherited items, many of which don’t fit their lifestyle or living spaces.

The Emotional Challenge of Letting Go

That antique dining room set that hosted decades of family dinners. The collection of vintage books carefully curated over a lifetime. The boxes of childhood memorabilia saved with love. These items carry precious memories, and the thought of discarding them can feel like erasing part of your family’s story.

A Surprising Reality

However, today’s generation often lives differently than their parents did. Many prefer minimalist lifestyles, live in smaller spaces, or move frequently for career opportunities. What parents view as precious heirlooms might feel like burdensome obligations to their children.

The Power of Conversation

As your Calabasas elder lawyer, I encourage families to have open, honest discussions about inheritance preferences while downsizing. You might be surprised to learn which items truly matter to your children. Perhaps your daughter treasures the well-worn recipe box more than the fine china, or your son values your collection of family photos more than the antique furniture.

Making Downsizing Easier

Consider these approaches:

  • Ask your children specifically which items they would want to inherit
  • Share the stories behind meaningful pieces while you can
  • Take photos of sentimental items you don’t keep
  • Consider passing down special items now, while you can enjoy seeing them used and appreciated


A Gift of Freedom

Sometimes, giving your children permission to make their own choices about inherited items is the greatest gift you can offer. Understanding their preferences now can help you make informed decisions as you downsize, potentially making the process easier for everyone.

Of course, personal belongings are just one part of streamlining the inheritance and estate planning process. If you need help creating a comprehensive plan that considers both physical assets and family dynamics, contact our office for guidance. We can help you develop a strategy that honors your wishes while respecting your children’s needs.

Calabasas estate lawyer

Calabasas Estate Lawyer Explains: Your Inherited IRA May Be at Risk

You’ve carefully built your retirement savings over decades, but did you know that once inherited, these accounts could be vulnerable to creditors? As a Calabasas estate lawyer, I’ve seen too many families surprised when inherited retirement accounts they thought were protected ended up exposed to legal claims.

The Supreme Court Changed Everything

In 2014, the Supreme Court’s Clark v. Rameker decision dramatically changed how inherited IRAs are treated. While your own retirement accounts enjoy strong protection from creditors, the Court ruled that inherited IRAs don’t qualify for the same bankruptcy exemptions. This means your carefully saved retirement funds could be at risk once they pass to your loved ones.

Why Inherited IRAs Are Vulnerable

Unlike traditional IRAs, inherited retirement accounts have unique characteristics that make them more susceptible to creditors:

  • Beneficiaries can withdraw funds at any time without penalty
  • There are no contribution limits
  • Required distributions start immediately, regardless of age
  • They can’t be rolled over into the beneficiary’s own retirement account

This flexibility, while beneficial in some ways, also means these accounts don’t qualify for the same protections as traditional retirement accounts.

Real-World Impact

Consider this scenario: Your adult child inherits your IRA and then faces a lawsuit or bankruptcy. Without proper planning, those retirement funds you spent decades building could be seized by creditors or included in bankruptcy proceedings. Your legacy of financial security could vanish practically overnight.

Strategic Protection Options

Working with an experienced Calabasas estate lawyer, you can implement several strategies to protect inherited retirement assets:

  1. Standalone Retirement Trusts: These specialized trusts can provide significant protection while maintaining tax benefits
  2. Spendthrift Provisions: Adding specific language to protect assets from creditors
  3. Customized Distribution Plans: Structuring how and when beneficiaries receive funds

The Importance of Professional Guidance

Creating these protections requires careful planning and precise legal language. One small mistake could leave your beneficiaries’ inheritance exposed. That’s why working with a knowledgeable Calabasas estate lawyer is crucial – we understand both federal regulations and state-specific protections available to your family.

Taking Action

Don’t wait until it’s too late to protect your retirement legacy. Schedule a consultation with our office to review your current beneficiary designations and discuss strategies to protect your hard-earned retirement savings after they pass to the next generation. Simply call 818-334-2805 to reserve your appointment.