While it is never pleasant to contemplate one’s own mortality, responsible spouses, parents and grandparents want to make things easier for their loved ones when they pass away. That’s why most decide to plan their estate distribution and other related matters while they are still able to execute these legal documents.
But many people also think that drafting a will covers all of the bases. And for some people, it might. But for those with more complex assets and resources, a trust may be an appropriate addition.
There are a few different kinds of trusts, and we can work with you to determine which type will best suit you and your beneficiaries’ circumstances. For some families, a spendthrift trust might be a good choice.
These trusts are designed to protect beneficiaries from their own worst instincts. If you have an adult child or grandchild who has struggled with alcoholism or addiction, has a gambling or spending problem or is married to someone who might deplete their assets, spendthrift trusts can be ideal.
They are also useful for those in professional roles who might get sued by their clients or patients, e.g., attorneys or doctors. The trust protects the principal and is strictly managed by the trustee whom you appoint. You also dictate the terms of the trust and when and under which conditions the disbursements must be made.
There is no one-size-fits-all answer to estate planning, which is why we encourage our clients to fully detail their familial and financial circumstances. We can then work together to meet even the most complex estate-planning needs of our clients.