Knowledge Base
Trust structures explained — irrevocable, revocable, living trusts, trust fund management, and the frameworks that protect and transfer wealth across generations.
78 articles in this category — page 4 of 7
Dissolving an irrevocable trust in New York is possible, but the bar is genuinely high. New York has not adopted the Uniform Trust Code, which means the flexible "changed circumstances" modifications available in 35+ other states simply do not exist here. Your three realistic paths are beneficiary c
For most revocable trusts, the answer during the grantor's lifetime is no. Under IRC Sections 671–679, the IRS treats the grantor as the owner of all trust assets for federal income tax purposes, which means revocable trust tax returns are simply filed on the grantor's personal Form 1040. That chang
Canada has no federal estate or inheritance tax. That framing, while technically accurate, is also dangerously incomplete for anyone with a $5M+ estate. The Canada Revenue Agency's deemed disposition rules effectively create the same economic result: upon death, you are treated as having sold all ca
Irrevocable trust expenses fall into two categories: those that reduce the trust's taxable income and those that don't. Getting this distinction wrong costs real money. For a $10M trust, misclassifying a single year's worth of investment advisory fees, trustee compensation, and administrative costs
Trust fund costs range from $3,000 for a basic revocable living trust to $50,000 or more for a complex irrevocable structure with dynasty trust provisions. For anyone holding significant assets, those setup fees are almost beside the point. The real question is what the trust saves you, and on that
Northern Trust, Bank of New York Mellon, JPMorgan Chase, Wells Fargo, and Wilmington Trust consistently rank as the strongest institutional trustees for irrevocable trust accounts at the $5M+ level. But the right answer depends on your trust structure, asset composition, preferred situs state, and h
Two trusts can absolutely share the same name. No federal registry prevents it. In most states, no state registry prevents it either. The Uniform Trust Code, adopted in whole or in part by more than 35 states, establishes no centralized name registry for revocable trusts, meaning identical names can
Yes, but not in the way most generic financial content describes. For high-net-worth retirees, the real issue isn't benefit eligibility, you cleared that bar decades ago. The issue is taxation. Trust distributions flow into your modified adjusted gross income (MAGI), which determines how much of yo
Revocable trusts are the most commonly recommended estate planning tool for high-net-worth individuals, and also the most commonly misunderstood. They solve real problems: probate avoidance, multi-state property coordination, and incapacity planning. They do not protect your assets from creditors, r
The interaction between power of attorney and irrevocable trusts is one of the most consequential and least understood areas of high-net-worth estate planning. Get it wrong and your agent may be powerless to act during incapacity, or worse, may take an irreversible action that triggers a 40% federal
Revocable trust property ownership sits in a specific legal gray zone that trips up even experienced estate planners. The trust holds legal title to your assets. You, as the grantor, retain beneficial ownership and full control. For tax purposes, the IRS treats you as if the trust doesn't exist at a
The standard advice on trust funds is written for someone with a $500K estate and a straightforward family situation. If your net worth clears $5 million, you are operating in a different tax environment, with different creditor exposure, different trustee requirements, and a closing window on one o