Late Millionaire Gets Creative with Daughters’ $20M Inheritance
When Maurice Laboz, a New York real estate mogul, died earlier this year, he bequeathed a generous fortune to his daughters, but with strings attached. Though each of his two daughters are to receive $10 million upon turning 35, he set up conditions in his will where the payouts could start earlier. Though setting aside money with stipulations is nothing new in the realm of estate planning, Laboz’ terms and conditions for an early pay-out to his daughters warrant a closer look.
For example, one of his daughters, Marlena, will receive $500,000 when she marries, “but only if her husband signs a sworn statement promising to keep his hands off the cash” according to the New York Post. She will also receive an additional lump sum of $750,000 if she graduates from an accredited university and writes a paragraph (100 words or less) about what she proposes to do with the money. Marlena’s “essay” must be approved by the trustees Laboz appointed to oversee the monies disbursed to his daughters.
In a post-mortem effort to incentivize his children to find gainful employment, both of Laboz’ daughters stand to receive a check worth three times the income listed on their personal tax returns each year from their trust if they decide to work. If they choose not to be employed and decide to have children instead, they will receive 3% of the value of their trust each year, granted the child is born in wedlock.
How’s that for parenting from beyond the grave?
All joking aside, while Talley & Company and our affiliated partners do not advise anyone attempt to be this “creative” with their estate planning, Laboz’ case exemplifies the amount of control individuals have when deciding what to do with their assets in the event of incapacity or death. Though the options are virtually limitless, proper estate planning -deciding on the “who, what, when, and how” and executing this with the least amount paid in taxes, legal fees and court costs possible can be a challenging affair to wrestle with alone. For more information, contact Talley & Company today.