A Will Trust is simply a trust that comes into effect on your death. Once you die, those you have named as trustees can be granted control over your assets on behalf of the beneficiaries (the people who will benefit from the assets).
You can specify what the trust provides to each beneficiary or grant the trustees control over how the funds are distributed. In the case of the latter, you could lay out guidelines in letters of wishes. We can help you set up your Will Trust to ensure your wishes are carried out.
Book a free 30-minute, obligation-free introductory meeting with a member of our team today.
Who can benefit from a Will Trust?
It is up to you who can be a beneficiary of a Will Trust, this can include:
- Named individuals
- A specific group of people (e.g., Grandchildren, etc)
- One or several charities
- Other organisations (e.g., Sports clubs and schools)
It’s possible for people who haven’t yet been born to be beneficiaries. This allows you to plan for future grandchildren and other descendants.
The trustees can be one or more individuals over the age of 18, corporate entities, or public bodies appointed to administer the trusts created by the Will.
A trustee can also be a beneficiary, although it is strongly advised to have at least one non-beneficiary trustee.
What can Will Trusts be used for?
Will trusts can be tailored to meet the needs of your estate. This includes:
- Providing income or property for your spouse
- Funding education for your children and grandchildren
- Providing for vulnerable loved ones
Will Trusts can be very valuable to effective estate planning. They can help you:
- Minimise inheritance tax and take advantage of available tax relief
- Make sure beneficiaries’ access to benefits or state support isn’t affected by their inheritance
- Protect your assets from creditors or divorcing partners
Will Trusts can also help you take advantage of inheritance tax relief due to your partner. By planning with a Will Trust, you can:
- Take advantage of inheritance tax business which otherwise might not be available after both you and your spouse have died
- Put assets outside your spouse’s ownership that are expected to increase in value and attract more tax (for example, land with development potential)
- Discount the taxable value of your family home by splitting ownership between a surviving spouse and a trust
- Get extra inheritance tax allowances if either you or your spouse have been previously been widowed
What are the different types of Will Trusts?
There are several different types of trusts, each having different benefits and being suited to different situations. Which trust type is right for you depends on:
- Who your beneficiaries are
- Whether you want to specify what each beneficiary gets, or give trustees discretion
- What you want to achieve through the trust
- How complex your estate is, and how the trust will affect other aspects of it for tax purposes
We work with you to understand your goals in estate planning and offer advice that’s tailored to you and your family. Call today to speak to one of our expert solicitors.
How a Trusts Solicitor can help
Our Wills, Trusts, and Probate experts have decades of experience creating and administering Will Trusts.
We will strive to make your Will Trust is as tax efficient as possible and advise on any potential legal implications while keeping you updated on any relevant changes in tax laws.
We deal with all aspects of compliance and will advise on altering the trust structure when appropriate or necessary.
Our comprehensive service will ensure your peace of mind and leave you to enjoy your life without worrying about the legacy of your estate.
If you’d like to learn more about Will Trusts, then please call us on 0151 282 1700 or make an enquiry today.