A trust is conventionally used for decreasing estate taxes and can provide other benefits as part of a well-devised estate plan.<\/p>\n
In a second (or third or ensuing) marriage, a spouse might feel divided between the needs of their present spouse and the needs of their children from a previous marriage. These children might be concerned that the parent\u2019s present spouse will deplete their inheritance, particularly if your spouse doesn\u2019t have a good relationship with your children. Luckily, you can meet the possible contrasting needs of your spouse and your children from a previous marriage by creating a specific type of trust. This will designate your spouse as a life beneficiary of the assets placed in the trust, at the same time designating your children from your previous marriage as the conclusive beneficiaries of the trust assets.<\/p>\n
Consequently, your spouse will have a restricted arrangement of rights for using the property in the trust throughout their lifetime. They won\u2019t be able to entrust the property in the trust to anyone else. In the meantime, your children will get all of the property in the trust following your spouse passing away. (Should your spouse pass away before you, the property in the trust will pass straight to your children or the other conclusive beneficiaries of the trust devoid of needing to make any modifications.) This arrangement also may work for individuals that aren\u2019t married in which they have children from a prior relationship.<\/p>\n