Legal Question in Wills and Trusts in California

Re: Beneficary

the answer to your question depends on whether or not the donor is still alive. If he/she is living, he/she can set up what is called a spendthrift trust. the trust will only pay you money in the discertion of the trustee, or it can be set up so that you receive only enough income to meet your needs. Unfortunately this deprives you of the full use and enjoyment of the money, but at least your creditors can't take it all away from you. However, even with a spendthrift trust, I believe a judge could still order you to pay a portion of the income you receive as child support. If the donor has died less than 9 months ago, you can file a disclaimer, that is a document that states that you give up your right to the money. that will work for the IRS and FTB, but you won't get the money either, it will go to your children (without you getting credit against child support you owe), or if the donor's document specifies who gets the money if you die before the donor, it will go to that person.