Establishing a trust in your Will can be a flexible way to pass on your assets and provide for your loved ones. This allows you to control how your estate is dealt with after you're gone, while also giving your trustees the scope to adapt to different situations as they arise.
Our experienced Wills and trusts solicitors are here to help you decide if a trust Will is the right option for you. We will talk you through the practicalities, including any tax implications, and ensure the arrangements you put in place now meet your requirements for the future.
What is a trust Will?
A trust Will is an arrangement that puts some or all of your assets into a trust as part of your Will. The trust then comes into effect after your death.
Trust Wills are an increasingly popular option as they offer a way to manage more complex estates and family situations. This is because you can stipulate certain conditions to determine how and when beneficiaries can access the funds held in the trust.
Wills vs trusts - how to decide which is right for you
A Will is an important document. This sets out your wishes for your estate, enabling you to look after your family or those who are precious to you.
Everybody's situation is unique and the type of Will you need should reflect this.
Using your Will to establish a trust can be useful if:
- You and your spouse or partner have separate children.
- You wish to give someone the right to use your home, or another part of your estate, but to ensure that those assets ultimately pass to beneficiaries of your choice.
- You would like flexibility built into your Will so that the division of your estate can reflect the circumstances at the time of your death.
A trust Will is different to a lifetime trust. While any trusts established as part of your Will only come into existence following your death, a lifetime trust may take effect immediately.
Whether a trust Will is a suitable option for you depends on your specific circumstances. We discuss your situation and your aims, advising on the best way to structure your Will to make sure your assets are passed on in the way you'd like.
Guiding you through your trust Will options
There are several trust structures that can be incorporated into your Will. These manage your assets in different ways.
You may want to specify how and when money should be released to beneficiaries. For example, by anticipating future scenarios, such as the inheritance of any grandchildren not yet born. Or you may be happy to leave your estate to be managed by your trustees with some guidelines from you.
Common trust structures include:
Discretionary Trusts
A discretionary trust is incredibly flexible, as this is managed by your trustees, who have complete discretion in deciding which of your beneficiaries should benefit from the trust and how.
Classic Life Interest Trust
A classic life interest trust allows you to grant a named person the right to live in a property until they die, after which the property will pass on to somebody else.
Terminable Life Interest Trust
This is similar to the classic life interest trust but is a more complex structure, offering a higher degree of flexibility.
How Tozers can help you set up a trust Will
The best trust structure for your Will depends on a number of factors, such as who your beneficiaries are, how much flexibility you're happy to give your trustees and your overall goals with the trust.
Our expert Wills and trust solicitors are here to help you get this right.
Whether you have a clear idea of what you want to achieve or are unsure where to start, we discuss your thoughts and concerns to ensure your trust Will covers everything you want it to.
We also look at the tax implications of each option, which may include Capital Gains Tax, Inheritance Tax and income tax. This can be a complicated area but our specialist advisors plan for this to minimise the tax burden on your beneficiaries and make the most of assets built up during your lifetime.
Why Tozers?
Several team members are part of the Society of Trusts and Estates Practitioners (STEP), keeping us at the forefront of best practice. We’re also recognised in the leading legal directory, the Legal 500, which notes Tozers as being "very approachable and knowledgeable", while identifying our head of team, Gráinne Staunton, as "an expert in inheritance tax and succession planning".
Above all, we pride ourselves in providing clear guidance tailored to your specific circumstances. You can feel confident your trust Will reflects your wishes so you can pass on your assets in the most efficient way.
If you think a trust Will could work for you, contact our Tax, Trust and Succession solicitors to discuss your situation in detail. Please use our online enquiry form below or call one of our offices.