Testamentary trusts can be established in your Will to come into existence at the time of your death and then administered. A popular testamentary trust is a trust established for minor children, but only if neither parent survives. The trustee will administer this trust to meet your child's financial needs. Trusts may also be established to fund education costs for grandchildren. Spouses often are the beneficiaries of trusts.
Trusts established to regulate the amount, control, and circumstances of distribution are common.
Spouses' needs and situations can change over the years, and having specific limitations on the distribution of the trust assets may prove beneficial. Beneficiaries of trusts are not always human beings. Charitable trusts are often established to provide annual distributions to a worthy cause of your choosing. The benefits of the trust will only apply to those assets which are actually transferred into it, which means retitling your assets into the name of the trust. This process can take plenty of time and money.