You Have More Than You'll Ever Need -- Where To Invest For Your Kids -- July 18, 2026

 Link here.

Trump Accounts

Trump Accounts: https://www.trumpaccounts.gov/.  

Query:

Can one open a Trump Account at Schwab or must it be done through the Trump Account app?

Reply:

 

Moving RMDs Into Other Tax-Free Accounts -- July 5, 2026

 Query: 

It seems that "529 plans" would be incredibly "conservative," not investing in risky vehicles or risky equity for various reasons. I have been minimized by "529" contributions to my grandchildren for that very reason: "529 plans" are probably quite conservative. But maybe I'm wrong. I have a "529" program for one of my grandchildren but I fear that it's performance is significantly worse than other types of investing. How does the Kansas state 529 compare with other mutual funds?

Reply:

Changing Trends In Distributing Wealth To Children And Grandchildren -- July 1, 2026

Query: 

Currently, boiler-plate wills are predominantly "per stirpes" and not "per capita." In any event, will are generally written to leave estates to the first generation, the children, but obviously can be written favoring the grandchildren and bypassing the children. I am sure that remains the case but my hunch is that gradually there will be increasing emphasis on the grandchildren and not the children. 

 Reply:

Next. 

 

Query: TOD designations and lifetime gifting vs trust?

 

Reply: 

Now. 

 

Look closely at each risk in choosing TODs vs trusts. 

It's been said that one risk of a TOD (rather than a trust) is that if the named beneficiary is not of legal age when the benefactor dies, some financial institutions won't release a TOD asset to an underage beneficiary.

The problem with minors as beneficiaries, trusts vs TODs:

With regard to a UTMA, how does one set one up? Through a bank, brokerage account, other?

Taxes on a UTMA account:

So, the mechanics:
    1) on the day you designate a TOD for an underage beneficiary, you make the TOD beneficiary out: 

 

 John Doe as custodian for Jane Doe under the Texas Uniform Transfer to Minors Act (UTMA).

 

    2) then on the 18th birthday of that beneficiary, the benefactor needs to immediately change TOD to be the beneficiary, and not the custodian. 

 

What happens if the TOD is not changed at that point? Not a problem: