What Is an Incentive Trust?

You have the power to plan your estate in a customized manner. Estate planning is not necessarily an exercise in slicing up a pie into different size pieces as you facilitate lump sum asset distributions after your passing. In many cases, a windfall of money can do more harm than good on some levels. There are probably some people on your inheritance list who are quite well-established in their own right, but there could also be younger family members who have not reached their full potential as human beings. Under these circumstances, you could create an incentive trust. As the name would indicate, with this type of trust you include incentives that must be met. Distributions would only be forthcoming if the conditions were satisfied. For example, let s say that you have a grandson that came along late in your son s life. You recognize the fact that you will probably pass away before your grandson completes his college education. In a case like this, you could create and fund an ince
http://www.norcalplanners.com/blog/estate-planning/incentive-trust/

Advertisements
Standard

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s