Testamentary Trust Will
What is a Testamentary Trust Will?
A testamentary trust will leaves the distribution of some or all of your assets and liabilities flexible so that your executors can make decisions about who to make distributions of assets to and when to make those distributions, depending on what is most beneficial for the intended beneficiaries and most tax effective for the estate and the intended beneficiaries.
When is a Testamentary Trust Will useful?
These types of Wills can be extremely useful in many situations such as the following.
- If you are a farmer with young children and you don’t know which, if any of your children will become farmers, you can leave all of your assets and liabilities in a testamentary trust which will enable your executor to preserve your assets for the benefit of your children as they grow up. In your Will you can describe your wishes which might include:
- your executor distributing your farming assets to any child of yours that chooses farming as their permanent vocation and career
- your executor making provision for your children that don’t choose farming as their permanent vocation and career that is not necessarily equal to the value of the farming assets, but which gives them a solid and fair inheritance
- If you have a child in financial difficulty, then you can leave their share of your estate in a testamentary trust to prevent their inheritance being lost in a bankruptcy
- If you have a child in a difficult relationship, then you might leave their share of your estate in a testamentary trust to enable your executor to distribute their share once they are on more sold ground
- If you have a disabled child, you may wish to leave their share of your estate in a testamentary trust which your executor controls so that the funds can be properly managed.
If any of the above circumstances apply to you, Mildwaters Lawyers can help you set up a Testamentary Trust Will to provide flexibility for your family and to protect the most vulnerable members of your family.
Contact us today so we can get you started.