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Trusts in London and the Home Counties
“Don’t leave your family’s future protection in the hands of fate – place it in a Trust with Hillman Legal Partnerships„
At Hillman Legal Partnerships we have over a decade of experience when it comes to Trusts. Speak to us today and we will provide you with all the information you need to make the right choice for your loved ones.
How to set up a Trust
There are lots of different names when it comes to Trusts but they all do a very similar thing. Essentially they are about helping you to maintain some control over how your money is used, even for many years after your death.
You can create a Trust as part of your Will – so when you are making out your Will speak to your advisor about your concerns. They will be able to advise you on the best course of action to ensure that the money you leave behind stays within the family as you would wish.
Thinking of creating a Trust Fund? Here are some typical Trusts available to you:
This covers most of the scenarios described above and is one of the most common Trusts. We can create one as part of your Will to ensure that your money stays with your loved ones after you have passed away.
Life Interest Trust
This is also a very common type of Trust. You might want to leave your house to your children but want your wife to be able to stay in the house for the remainder of her life without passing ownership to her. You could want your assets to pass to your children yet allow your husband to retain access to them until he remarries.
There are lots of reasons why these would be desirable to you. Talk to your Hillman Legal Advisor and tell them what’s worrying you.
A FT is a popular way of ringfencing particular assets such as property to protect them for the family down the generations. Placing a property in the trust for example would mean the family could enjoy it and it could be passed down but not exposed to dangers that exist when it passes into someones actual name – such as bankruptcy, divorce or health care costs.
A Business Trust is a good way of ensuring that in the event of your death your spouse continues to receive the financial benefits of the business. In this scenario it is common to make your business partners Trustees and your spouse the beneficiary.
Disabled Trusts are a great way of leaving money to a relative with disabilities without that money having a negative impact on their disability allowances.
Why would I need to create a Trust?
There are many reasons why you might want to place your Estate in Trust. Here are some common scenarios:
I need a Trust: scenario 1
“Mrs Smith has an only child, Dave, and wants to leave her house and savings to him in her Will.
However, she is worried because Dave has married a woman, called Sue, who Mrs Smith doesn’t really trust. They argue a lot and last year Sue confessed to having had a brief affair.
What if Dave and Sue get divorced after her death?
In a normal scenario Sue could be entitled to half of everything Mrs Smith leaves Dave under a typical divorce settlement. But by placing her property and savings in a Trust, and making Dave the beneficiary, Dave will be able to enjoy the benefit of her entire Estate without actually owning it.
Therefore, in the case of a divorce, Sue may not be entitled to some of the Estate.”
I need a Trust: scenario 2
“Bob and Jenny are a young married couple with two small children. Bob has a health condition and is worried that he might not live to see his children mature. He wants the best for his family and would expect his wife to remarry if he did die, as she is still young.
His concern is what could happen to his children in the event of this all taking place. Under normal ‘intestacy laws’ a proportion of his estate would pass to his wife when he dies.
However if she remarries and forgets to write a valid Will herself – and she then dies – the entire Estate could pass to her new husband. This effectively disinherits his children, with everything he owns passing to a strange man who may or may not have his children’s’ best interests at heart.
By creating a Discretionary Trust and making his children the beneficiaries he can rest assured that his children will always enjoy the benefit of his Estate regardless of what his wife does after his death. This takes a huge amount of worry off of Bob’s shoulders.”
If you have any questions, please call us on 020 8340 3102 or 0800 29 88 66 1