As an estate planning attorney in Nevada, I have one recurring holiday fear: not sugar-fueled elves… but unknown heirs.
Case in point: Buddy the Elf.
You think you’ve got a nice, clean estate plan. One child. One spouse. Everything neatly wrapped with a bow. Then suddenly—bam—a full-grown man in tights bursts out of the North Pole claiming, “I’m your son!”
Under Nevada law, Buddy could really mess up your nice neat estate plan. If a child is not specifically disinherited, they may be entitled to a share of the estate. And that’s how your carefully drafted plan turns into a Christmas catastrophe involving maple syrup, revolving doors, and a very enthusiastic spending spree.
Now imagine Buddy inheriting outright:
- A six-figure distribution… immediately spent on candy, toy trains, and New York City hot cocoa.
- No concept of budgeting
- Zero impulse control
- A strong likelihood the estate is gone by New Year’s Day
This is why estate planners lose sleep. The solution (which is Santa-Approved) is a Trust. A properly drafted revocable living trust allows you to:
- Clearly identify who does and does not inherit (yes, even surprise elves).
- Place reasonable limitations on distributions.
- Appoint a third-party trustee—someone with fewer sugar highs and better judgment than Buddy.
With a trustee in place, Buddy can still be cared for—housing, food, reasonable expenses—without blowing his inheritance on world-record candy cane collections or attempting to buy Santa’s sleigh on eBay.
Holiday Moral of the Story… if Buddy the Elf taught us anything, it’s this…just because someone shows up late to the family tree doesn’t mean your estate plan should unravel.
If you want to keep your legacy intact—and the elves off your shelves—make sure your estate plan:
- Accounts for all potential heirs.
- Clearly disinherits those you don’t intend to include.
- Uses trusts to protect beneficiaries from themselves.
Because the only thing worse than a surprise elf… is your estate going where you don’t want it to.
