What is an inheritance trust?

An inheritance trust is a legal arrangement that allows assets to be placed in a trust, and then managed by a trustee. This trust ensures that the property or assets remain with the family and are passed down to beneficiaries after the settlor (creator of trust) passes away. In Georgia, an inheritance trust is set up by a written document and must be signed by the settlor in addition to at least one other witness. This trust is established for the benefit of the settlor’s heirs or beneficiaries. The settlor of the trust is responsible for determining who will be the beneficiaries and how much the beneficiaries will receive. The settlor also names a trustee to manage and distribute the assets in the trust according to the settlor’s wishes. The trustee is also responsible for managing investments and making sure all assets are properly managed, safe and sound. Inheritance trusts can also be used as a tax planning tool as some assets may be granted a tax exemption or reduced taxes when transferred to a trust. The estate planning attorney can assist the settlor or beneficiaries in understanding the tax implications of an inheritance trust in Georgia. With careful planning, an inheritance trust can be used to protect the assets and ensure they are passed on to the desired beneficiaries.

Related FAQs

What is a testamentary trust and how does it work?
What is a Spendthrift Trust and how does it work?
What happens if I don't have an estate plan?
What is an irrevocable trust?
How can I ensure that my wishes are carried out after my death?
How can I protect my assets from creditors?
What is an estate tax return and why should I file one?
What is an estate inventory and why should I create one?
Should I include a trust or will in my estate plan?
How can I ensure that my beneficiaries receive their inheritance quickly and efficiently?

What is an inheritance trust?

Related FAQs

Related Blog Posts