Estate planning relates to the arrangement of your affairs so that upon your passing your assets will pass to those whom you wish to benefit, while being subjected to the least amount of taxes and transfer costs. Often, too, it speaks of setting things up so that your assets can be professionally managed for the benefit of less sophisticated loved ones when you are gone. A trust is a popular method of accomplishing all of these goals. A trust is simply written instructions by someone called a “Settlor” (the person setting up the trust) to a “Trustee” (the trusted money manager) calling for the investment of assets (the “Trust Estate”) for the benefit of someone (the “Beneficiary”).
Trusts are frequently used by parents who wish to make arrangements so that upon their death, their children are provided for, without having money pass directly to them while they are young. Such parents can establish trusts which will invest assets, pay out money for the expenses of rearing young children, eventually pay for college, and then distribute trust assets when children are older and more experienced with finances. Though these are common goals of people setting up trusts, they are by no means the only arrangements a trust can offer. Trusts are very versatile arrangements that can provide for any number of financial situations. As such, they are a great vehicle for managing assets in a way that suites unique financial situations.
Johnson & Johnson has been helping clients set up trusts for over 25 years. We are confident we can suit your needs.