Are you worried about how your estate’s assets are going to be utilized once you’re gone? Are you concerned that your loved ones will simply rely on their inheritance to get by, thereby diminishing their motivation to live up to their potential?
If you answered “yes” to either of these questions, then you need to shape your estate plan in a way that addresses your concerns. One way to do so is to utilize an incentive trust.
What’s an incentive trust?
An incentive trust is a trust that makes periodic payments to a named beneficiary with the remainder of the trust’s assets being released once an identified triggering condition is met.
What is the triggering event in an incentive trust?
That’s almost entirely up to you. You can be creative here and identify just about any event that you think is best for you loved ones and your estate. Some people tie the release of trust assets to the beneficiary’s marriage or the birth of a child, while others require graduation from college before assets will be released. You can even force a loved one to hold a job for a certain period of time or complete some sort of addiction treatment before the trust’s assets are released.
Develop the custom-tailored estate plan that’s right for you
An incentive trust is just one tool at your disposal during the estate planning process. When used in conjunction with the other vehicles that are available to you, you can craft the detailed and thorough estate plan that you need to bring your vision of the future into fruition.
In order to do so, though, you need to know your options and how to best utilize them. That’s where attorneys like those at our firm can prove beneficial. So, if you’re looking for estate planning assistance, then please continue to read up on firms like ours to see what can be offered in way of guidance and advice.