The Michigan Uniform Transfer to Minors Act allows a person to transfer property, such as bank accounts, securities, life insurance policies, tangible personal property and real estate, to a minor to be held for the benefit of that minor until that individual reaches the age of 18 and in some cases, up to the age of 21. This transfer can be by an individual during his or her lifetime or through an estate plan, which passes an asset upon the death of the donor. Once made, the gift is irrevocable and the asset will be vested in the minor and held by a custodian, designated by the donor. The custodian is responsible for managing the and/or investing the property. The gift to the minor is immediately available to be used for the benefit of the minor, and the custodian has broad discretion to use the property for the benefit of the minor, without approval of any Court. The asset must be transferred to the minor when the minor reaches the age of 18, and in certain cases 21, but can never be held beyond the age of 21. For this reason, it is not an appropriate tool for all cases, such as with very large gifts that may not be fully expended by the time the minor reaches the age of 18 or 21. In those cases, a different estate planning tool should be considered. If you would like to discuss different strategies of gifting or passing assets to minors, please contact us to set up an appointment with an estate planning attorney.