A Living (or Inter Vivos) Trust, quite simply, is a trust arrangement established during a person’s lifetime to assist that member in achieving their personal financial or tax planning goals. A Living Trust manages their property while they are living and states how the assets and the income earned by the trust are to be distributed.
It allows your member to transfer the legal title of assets to a trust with instructions to the trustee about how the assets are to be managed for the benefit of the beneficiary.
Beneficiaries under the trust can be anyone from relatives, to themselves or to a charity.
Your member may wish to consider a Living Trust if:
They are looking for an alternate means to distribute assets while reducing estate taxes, probate fees and protecting assets against potential claims.
They want their beneficiary (ies) to have immediate income upon their death.
Living Trusts can be either:
Revocable – can be changed or collapsed by the settlor at any time.
Irrevocable – cannot be changed or collapsed and must continue to operate as set out in the trust agreement.
Living Trusts can offer advantages over a designation in a will or other form of asset distribution by:
Saving time, estate taxes and probate fees: Because the assets under the trust are not considered part of the estate, they are not subject to estate taxes or probate. The trustee has immediate access to the assets and distributes them according to the terms of the trust.
Protecting assets against claims: Because title to the assets is registered to the trustee, they are immune to claims against them, the estate, or the contestation of a will.
As trustee, Concentra is responsible for:
Safeguarding of assets.
Administration and distribution of assets in accordance with the terms of the trust.
Reporting of transactions and administration activities.
Confidentiality & Privacy
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