What is an inheritance trust?

An inheritance trust is a type of estate planning tool used to manage assets of the deceased. This type of trust is established to provide income to beneficiaries as well as provide protection of those assets. Because Arizona is a community property state, inheritance trusts are used to protect assets from the surviving spouse. An inheritance trust is typically created in a will and the trustee is responsible for managing and protecting the assets held in the trust. The trustee is responsible for ensuring that the assets held in the trust are used for the benefit of the beneficiaries. This includes investing the assets, paying expenses, and distributing any income and growth of the trust assets to the beneficiaries. The trustee is also responsible for administering the trust according to its provisions and making sure that the trust continues to be managed properly. Inheritance trusts can be set up to manage all types of assets, including bank accounts, real estate, stocks, bonds, and other investments. When structured properly, an inheritance trust can provide protection for the deceased’s assets and help ensure that these assets are passed on to the beneficiaries in a timely and orderly manner.

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