Setting Up a Trust for Your Children in Alabama

If you have minor children, your estate plan has a problem you may not have thought about. If you were to pass away without the right plan in place, any assets you leave your children in Alabama would immediately become subject to court-supervised conservatorship — because a minor cannot legally own significant assets. Your child would receive everything outright the moment they turn 19, with no conditions and no supervision. A properly structured trust fixes all of that.

At Colvin & Sawyer Law Offices, we help parents across Birmingham, Mountain Brook, Hoover, Vestavia Hills, and throughout Alabama create trusts that protect their children's inheritance and give parents real control over how and when those assets are used.

What Happens Without a Trust in Alabama

Alabama law does not allow minors to own assets above a minimal value. If you die leaving assets to a minor child, an Alabama court appoints a conservator to manage the assets. When your child turns 19 — Alabama's age of majority — they receive everything outright with no conditions and no trustee oversight.

Types of Trusts for Children in Alabama

Testamentary Trust

Created inside your will and takes effect at your death. Allows you to name a trustee, set distribution conditions (education, health, housing), and specify the age at which children receive control. Cost-effective for most Alabama parents — but assets still go through probate first.

Revocable Living Trust with Children's Provisions

A revocable living trust that includes sub-trusts for minor children avoids probate entirely, takes effect immediately upon your death or incapacity, and provides seamless management by the trustee you name. The most comprehensive option for most Alabama families. See: Living Trust vs. Will in Alabama.

Key Decisions When Setting Up a Children's Trust

• Who will serve as trustee? Financial competence and trustworthiness both matter.
• What can distributions be used for? Health, education, maintenance, and support are standard — but you can be more specific.
• At what age do children receive control? Most Alabama parents choose 25 or 30. Some stagger distributions — one-third at 25, half at 30, remainder at 35.
• What if a child predeceases you? You need a contingency plan for how that share is handled.

Don't Forget the Beneficiary Designation Problem

Many Alabama parents list their children as direct beneficiaries on life insurance and retirement accounts — which bypasses the trust entirely and sends money straight to court conservatorship if children are minors. Name your trust as the beneficiary instead, and coordinate all beneficiary designations with your overall estate plan.

Christopher Colvin

Founder, Colvin & Sawyer Law Offices | Estate Planning Attorney

Christopher Colvin is an Alabama estate planning attorney and honor graduate of the Birmingham School of Law. A former small business owner and pastor, he helps families across Birmingham, Mountain Brook, Hoover, Vestavia Hills, and all of Alabama protect their assets and plan for the future.