Learning Center

Spendthrift Clause

A spendthrift clause prevents beneficiaries from assigning, pledging, or selling their interest in the trust before they...

Successor Trustee Provisions

Successor trustee provisions specify who will manage the trust if the original trustee can no longer serve due to death,...

Incapacity Provisions

Incapacity provisions define what happens if you (the grantor) become mentally or physically unable to manage your affai...

Distribution Provisions

Distribution provisions specify how and when trust assets will be distributed to beneficiaries. This can include immedia...

No-Contest Clause

A no-contest clause (also called an "in terrorem" clause) states that any beneficiary who challenges the validity of the...

Pour-Over Provisions

Pour-over provisions work with a pour-over will to catch any assets that weren't transferred to the trust during your li...

Revocability Clause

This clause establishes that the trust is revocable during the grantor's lifetime, meaning you can modify, amend, or com...

Trustee Powers

This section grants specific powers to the trustee to manage trust assets effectively. This includes powers to buy, sell...

Control Everything, Own Nothing

This powerful estate planning philosophy uses irrevocable trusts to remove assets from your taxable estate while maintai...

True Assets in Trust

Rich Dad defined an asset as something that puts money in your pocket. A liability takes money out. Many people think th...

Beneficiary Financial Education

Inspired by both Rich Dad Poor Dad and Family Fortunes: true wealth transfer includes financial education, not just mone...

Incentive Trust Provisions

Rather than distributing wealth unconditionally, incentive provisions tie distributions to beneficiary achievements or b...

Bloodline / Lineal Descendant Protection

Bloodline protection provisions restrict trust benefits to your direct blood relatives (lineal descendants), ensuring yo...

Spouse Provisions in Bloodline Trusts

While bloodline trusts protect assets for blood relatives, well-drafted trusts can still provide for beneficiaries' spou...

Adoption & Step-Child Provisions

Trusts must address how adopted children and step-children are treated. Options include: treating adopted children ident...

Per Stirpes Distribution

Per stirpes (Latin for "by the branch") is a distribution method ensuring each family branch receives an equal share. If...

Divorce Protection Provisions

These provisions work with spendthrift clauses to ensure trust assets are not considered marital property in a beneficia...

Dynasty Trust Provisions

A dynasty trust is designed to last for multiple generations—potentially forever in states that have abolished the rul...

Family Governance Provisions

Family governance provisions establish structures for family decision-making about wealth. This can include family counc...

Irrevocable Trust Benefits

An irrevocable trust cannot be modified or revoked by the grantor after creation (with limited exceptions). Once assets ...

Trust Protector Role

A Trust Protector is an independent party (not the grantor, trustee, or beneficiary) given special powers to oversee the...

Spousal Lifetime Access Trust (SLAT)

A SLAT is an irrevocable trust created by one spouse for the benefit of the other. Assets transferred to the SLAT are re...

Grantor Retained Annuity Trust (GRAT)

A GRAT is an irrevocable trust where the grantor transfers appreciating assets and retains an annuity payment for a set ...

Irrevocable Life Insurance Trust (ILIT)

An ILIT owns and is the beneficiary of life insurance policies, removing the death benefit from the insured's taxable es...

Domestic Asset Protection Trust (DAPT)

A DAPT is a self-settled irrevocable trust where the grantor is also a beneficiary—something traditionally not allowed...

Medicaid Asset Protection Trust (MAPT)

A MAPT is an irrevocable trust designed to protect assets from being counted for Medicaid eligibility purposes. Assets t...

Special Needs Trust (SNT)

A Special Needs Trust (also called a Supplemental Needs Trust) provides for a beneficiary with disabilities without disq...

Qualified Personal Residence Trust (QPRT)

A QPRT transfers your primary home (or vacation home) to an irrevocable trust while you retain the right to live in it f...

Deferred Sales Trust (IRC Section 453)

A Deferred Sales Trust uses IRC Section 453 (installment sale rules) to defer capital gains taxes on the sale of highly ...

Tax Elections Clause

A tax elections clause grants the trustee authority to make various tax-related decisions on behalf of the trust, includ...

Generation-Skipping Transfer (GST) Tax Clause

The GST tax is a federal tax on transfers to grandchildren or other "skip persons" that skip a generation. A GST allocat...

Estate Tax Apportionment Clause

This clause determines how estate taxes will be paid—whether from the general estate, from specific bequests, or propo...

Grantor Trust Provisions

Grantor trust provisions ensure the trust is treated as owned by the grantor for income tax purposes during their lifeti...

Charitable Planning Provisions

Charitable provisions allow for tax-deductible gifts to qualified charities, either during life or at death. These can i...

Marital Deduction / QTIP Provisions

The unlimited marital deduction allows assets to pass to a surviving spouse tax-free. QTIP (Qualified Terminable Interes...

Bypass / Credit Shelter Trust

A bypass trust (also called credit shelter or family trust) holds assets up to the estate tax exemption amount, keeping ...

Trustee Duties & Responsibilities

A trustee is a fiduciary—someone legally obligated to act in the best interests of the beneficiari...

Being a Strategic Trustee

A strategic trustee goes beyond basic administration to actively optimize the trust for beneficiarie...

Trustee Best Practices

Successful trustees follow key practices: (1) Keep meticulous records of all transactions and decisi...

A revocable living trust is the foundation of most estate plans. You transfer ownership of your assets to the trust while maintaining complete control...

A family trust is designed specifically for married couples and families with children. It can be structured as a joint trust (both spouses as grantor...

A pour-over will works in conjunction with your living trust. Any assets that were not transferred to your trust during your lifetime "pour over" into...

The complete estate package includes everything you need: a living trust, pour-over will, certificate of trust, property transfer guidance, and comple...

An irrevocable trust removes assets from your ownership—and therefore from the reach of creditors, lawsuits, divorce, and estate taxes. The philosop...

A land trust holds title to real estate, providing privacy and liability protection. The trustee holds legal title while you maintain full beneficial ...

A business trust separates your business interests from your personal estate planning. It provides succession planning for your business, protects bus...

A complex trust package includes advanced estate planning strategies for larger estates. It may include multiple sub-trusts, generation-skipping provi...

A dynasty trust is an irrevocable trust designed to preserve wealth across multiple generations — potentially in perpetuity. Assets are transferred ...

A SLAT is an irrevocable trust created by one spouse for the benefit of the other. Assets transferred are removed from the grantor's taxable estate, b...

A GRAT transfers appreciating assets to an irrevocable trust while the grantor retains annuity payments for a set term. If assets grow faster than the...

An ILIT owns and is the beneficiary of life insurance policies, removing the death benefit from your taxable estate. Without an ILIT, life insurance p...

A DAPT is a self-settled irrevocable trust where the grantor is also a beneficiary. Certain states (Nevada, South Dakota, Delaware, and others) permit...

A MAPT protects assets from being counted for Medicaid eligibility while preserving them for your family. Assets transferred to the trust are no longe...

A Special Needs Trust provides for a beneficiary with disabilities without disqualifying them from government benefits like SSI and Medicaid. The trus...

A QPRT transfers your primary home or vacation home to an irrevocable trust while you retain the right to live in it for a set number of years. At the...

A Deferred Sales Trust uses IRC Section 453 installment sale rules to defer capital gains taxes on the sale of highly appreciated assets. Instead of s...