Trusts vs Lifetime Gifting
Setting up a lifetime trust can be an effective way to reduce your inheritance tax liability and protect assets for future generations.
In contrast to outright gifts, placing assets in trust has the following advantages:
Your trustees will manage assets put into trust in accordance with the rules set out in the trust deed. You can appoint yourself as a trustee and can continue to make decisions about how the assets are used or invested.
Holding assets in trust ensures that a beneficiary’s circumstances do not put the assets at risk, e.g. on bankruptcy or divorce.
A trust can allow your trustees to adapt to circumstances as they arise. If you make an outright gift, you cannot later change your mind and give it to someone else if you feel they are more deserving.
How can Timbrell Law help?
We are experienced in setting up and administering trusts and can advise you on the various structures available to suit your needs. We also work with other advisors to complement their estate planning advice ensuring the legal structure matches your needs.
Please contact us for further advice.
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If you live further afield, we would still be happy to help. Please get in touch today for our online services.