What is a testamentary trust and how does it work?

A testamentary trust is a type of trust established within a will and overseen by an executor in South Carolina. The trust is funded after the grantor’s death and can be used to control how assets are distributed to the beneficiaries. The trust can be set up to provide for someone’s health, education, support, or maintenance. When a trust is created, the grantor (the person creating the trust) will name a trustee, who is in charge of managing and distributing the trust assets. They will also specify who the beneficiaries are, and how much each beneficiary will receive from the trust. The trust can also be set up to give the trustee discretion over the assets. The grantor can specify that the trustee should only distribute the assets in certain ways, such as only for educational expenses, or only for medical expenses. The testamentary trust is established and managed by the executor upon the grantor’s death. The executor must make sure that the trust is funded with assets, and that all provisions of the trust are followed. The trust must also be approved by the probate court before it is considered valid. Once the trust is established, it will remain in effect until all of the assets in the trust are distributed or the trust is terminated. The trustee will have the responsibility of making sure that the trust assets are distributed in accordance with the wishes of the grantor.

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