Disclaimer
This article is for general informational purposes only and does not constitute legal advice. Always consult a qualified attorney for advice tailored to your situation.
Detailed Answer on Protecting a Minor’s Inheritance in Wyoming
1. Intestate Succession Under Wyoming Law
When a person dies without a will, they die “intestate.” Wyoming’s intestate succession laws determine who inherits. If a decedent leaves children and no surviving spouse, the estate passes in equal shares to the children. See Wyo. Stat. § 2-1-104.
2. Probate and Appointment of Personal Representative
To begin, an interested party (often a parent) petitions the county court for probate. The court appoints a personal representative to gather assets, pay debts, and oversee distribution. The personal representative must safeguard a minor’s share until the child reaches legal age.
3. Guardianship of the Estate for a Minor Beneficiary
If funds are due to a minor, the court may appoint a guardian of the estate. This guardian is responsible for managing the minor’s inheritance under court supervision. Guardianship helps prevent misuse or loss of the assets. See Wyo. Stat. § 3-2-102.
4. Custodial Accounts Under the Uniform Transfers to Minors Act (UTMA)
Wyoming has adopted UTMA to simplify holding and investing a minor’s inheritance. A custodian (often a parent) can open a UTMA account and manage the assets until the minor reaches 21. Upon reaching majority, the child gains full control. See Wyo. Stat. § 2-10-101 et seq..
5. Establishing a Testamentary Trust for Minors
Even without a will, interested family members can petition the court to create a trust to protect a minor’s share. A trust allows customized distribution terms—such as disbursing funds at certain ages or milestones.
6. Court Supervision and Reporting Requirements
The personal representative or guardian must file regular accountings with the court. This oversight ensures transparency and protects the minor’s inheritance from mismanagement.
Helpful Hints
- Start probate promptly to avoid delays in appointing a personal representative.
- Discuss custodial account options with your bank or financial advisor familiar with UTMA.
- Keep detailed records of all transactions and investment decisions for court reporting.
- Consider asking the court to set up a trust if you prefer more control over distribution terms.
- Work with an estate attorney to guide you through guardianship petitions and protect minor interests.