A family trust is used for holding and safeguarding a number or all of your assets, at present and in the future. You as the settler could create a family trust by transferring assets to your trustees, who are obligated under law to use your trust’s assets according to your specific wishes. For example, if you want to distribute your assets to your designated beneficiaries upon your death.
Should You Create a Family Trust?
This would depend on your specific circumstances, explains Rainey Collins Lawyers and other top family trust lawyers. For instance, if you want to protect your property, ensure that your children and your grandchildren are cared for when you pass away, or if you want to avoid potential claims on your assets.
Are There Any Benefits to Creating a Family Trust?
A well-made family trust help in making certain that all assets would be passed on to the people you want. It could likewise aid in protecting family assets in case you experience business problems of your marriage breaks down.
How Does it Work?
When you create a family trust, you would need to decide how it should operate and include detailed instructions in your trust deed.
You’d also have to decide if you want to sell or gift your assets depending on your reasons for creating the family trust and your personal circumstances. You’d then have to appoint a trustee who will ensure that your trust instructions would be carried out upon your death.
You could likewise choose to be a trustee yourself so you could manage your trust while you’re alive. Lastly, you’d have to appoint your beneficiaries.
While establishing a family trust could be immensely helpful, it will only be beneficial if it’s well-made. To that end, you should consider getting legal help when creating your family trust to make certain that it meets your specific needs and purposes for creating it in the first place. Your lawyer would likewise ensure that all your trust documents are kept accurate and safe and that they’re compliant with relevant laws.