Gifts to Minors: LLCs Can Protect Them from Creditors and Predators

Uniform Gifts to Minor Accounts are very popular for parents and other relatives when establishing financial accounts for minor children. They are a means of making a “controllable” gift to a minor, but they come with some caveats that anyone considering them should understand.

When are These Types of Gifts Used?

For example, say you have a family with young children and you want to utilize the $15,000 per person annual gift exclusion. With this exclusion, anyone can gift up to $15,000 per year to as many people as.)  This will allow parents to set up a gift account as described below.  Each year, Mom and Dad together give $30,000 to these special accounts so when the kids reach adulthood, they have a source of capital to start their lives.