THE ESSENTIALS
Trusts, in plain language.
Start with the structure. Understand the people. Then ask how the details apply to your situation.
A framework for holding and managing property.
A trust establishes a relationship in which a trustee holds and administers property for beneficiaries under stated terms. The person creating it is often called the grantor or settlor.
The trust document, the assets involved and the governing law all matter. Learning the vocabulary is a useful first step toward a more informed discussion.
Source: IRS: Basic trust law
KEEP THIS QUESTION IN MIND
What do I want a plan to accomplish?
Begin with your priorities for family, decision-making and the future. Your advisor can help connect those priorities to a suitable plan.
PEOPLE & RESPONSIBILITIES
Three roles to know.
01
Grantor
The person who creates the trust.
02
Trustee
The person or organization responsible for administering trust property.
03
Beneficiary
A person or organization entitled to benefits from the trust.
Source: CFPB: Revocable living trusts
The document is one part of the picture.
For a revocable living trust, the intended assets must be placed into the trust for the trustee to manage them under that arrangement. Ask what needs to be transferred, how ownership should be recorded and what should remain outside the trust.
Source: CFPB: Revocable living trusts
Bring the details into the conversation.
List your questions about successor trustees, recordkeeping, access to documents and changes in your circumstances. Keep the first conversation focused on understanding your options.
YOUR NEXT CHAPTER
A better conversation starts
with better questions.
Bring a clear list of priorities to your next conversation with a qualified professional.