I wrote in my last post about using an asset protection trust to protect a specific beneficiary who might have need protection, for example from a substance abuse problem. Sometimes we implement multigenerational trusts not to protect against the problems of a specific trust but to provide a management or tax planning structures for family wealth. This is what is commonly called a “Dynasty Trust”. Such a trust is one that continues for the maximum term possible. There can be estate tax advantages to such a trust.
My friend Steve Hartnett, the Director of Education for the American Academy of Estate Planning Attorneys has written a helpful blog post which illustrates the estate tax benefits of this kind of planning. I think it’s worth a read. Read on to learn more.
- Why Liquidity Is Important Within Your Estate Plan - May 15, 2023
- What Is the Medicaid “Spend Down” Requirement? - March 20, 2023
- If I’m the Trustee Do I Need an Attorney to Help? - February 25, 2023
