Use of Incentive Trusts on the Rise
Crain's Cleveland Business reports that estate planners are seeing an increase in the number of clients who are asking about the use of so-called "incentive trusts" as a part of their estate plans. Such trusts are designed to place restrictions on the distribution of funds to heirs, ordinarily tying such distributions to certain life benchmarks, such as finishing college. Whether such trusts are advisable is, of course, a function of the individual client's circumstances and desires. Trusts may be used, moreover, to help insulate family assets from unfortunate events that may be beyond your heirs' control, such as liabilities arising from accidents or unsuccessful investments, or divorce settlements. Discussion of these issues should be a part of the planning process for all clients. Its your family, and your legacy.
