What Do I Do Next
How Does It Work?
Place a sum of money in trust and make a provision in your will, that money is to be made available to your grandchild(ren) between the ages of 21 and 25 (most likely on completion of a trade apprenticeship or college education) on condition that he or she undertakes a six-month field assignment with a recognised development agency in a developing country.Appoint two trustees (not the parents) who are likely to enjoy reasonable rapport with the grandchild and who will manage the trust (ensuring that it maintains its value over the years) and evaluate the grandchild’s chosen assignment to ensure it satisfies the conditions of the bequest.
Should your grandchild choose not to undertake an assignment (or if there is any money left over at the winding up of the trust), we recommend that the relevant sum is to be donated directly to a third world development agency.
What Do I Do Next?
There are three steps:1. Determine the sum of money to be made available to each grandchild. We recommend a reasonable figure that will “offer an incentive rather than corrupt”, typically an amount which will enable them to fund their assignment and spend a further six-month period travelling the world. We estimate that amount to be €30,000 in 2008 values.
2. Make provision in your will using the following or similar wording:
“In order to make a difference and to encourage a sense of involvement and social responsibility in my grandchildren, I assign (total figure) to be placed in trust and (€30,000) distributed to my (named) grandchild between the ages of 21 and 25 on condition that he/she undertakes a six-month field assignment with a recognised development agency in a developing country on approval by the (named) trustees.”
3. Appoint two trustees (we suggest that one of whom is, ideally, in their early twenties) to manage the trust and evaluate the grandchild’s proposed assignment according to your wishes. We recommend that you write separately to the trustees confirming any conditions you wish to apply.
We recommend you discuss your Gap Year Gift plans with your own professional advisers, e.g. your accountant or solicitor.
For more on Guidelines for Trustees
