• Skip to main content
  • Skip to primary sidebar
  • Skip to footer
  • Home
  • Our Firm
    • About Our Firm
    • Attorney and Staff Profiles
  • Services
    • Asset Protection & Business Planning
    • Elder Law & Medicaid Services
    • Estate and Gift Tax Figures
    • Estate Planning Services
    • Family-Owned Businesses & Farms
    • Legacy Planning
    • LGBTQ Estate Planning
    • Pet Planning
    • SECURE Act
    • Special Needs Planning
    • Trust Administration & Probate
  • Elder Law
    • Coping With Alzheimer’s
    • Emergency Medicaid & Nursing Home Planning
    • Guardianship & Conservatorship
    • Hospice Care
    • Medicaid Planning
    • Veterans Benefits
  • Seminars
  • Areas We Serve
    • Ballwin
    • Chesterfield
    • Clayton
    • Creve Couer
    • Des Peres
    • Edwardsville
    • Fenton
    • Glen Carbon
    • Glendale
    • Kirkwood
    • Maryland Heights
    • Oakland
    • Sappington
    • St. Louis
    • Sunset Hills
    • Valley Park
    • Webster Groves
  • Resources
    • Asset Protection Worksheet
    • Elder Law Resources
      • Chesterfield Elder Law
      • Fenton Elder Law
      • Kirkwood Elder Law
      • Sunset Hills Elder Law
      • St. Louis Elder Law
      • St. Peters Elder Law
      • Webster Groves Elder Law
    • FREE Estate Planning Seminars
    • FREE Estate Planning Worksheet
    • Frequently Asked Questions
      • Estate Planning
      • Families Without an Estate Plan
      • Legacy Wealth Planning
      • LGBTQ Estate Planning
      • Trust Administration & Probate
    • Is Your Estate Plan Outdated?
    • Medicaid Resources
    • Multimedia
    • Newsletters
    • Presentations
    • Pre Consultation Form
    • Probate Checklist
    • Probate Resources
    • Retirement Planning Checklist
    • Special Reports
      • Advanced Estate Planning
      • Basic Estate Planning
      • Estate Planning For Niches
      • Trust Administration
  • Reviews
    • Our Reviews
    • Review Us
  • Blog
  • Contact Us

Amen, Gantner & Capriano | Your Estate Matters, L.L.C.

St. Louis Estate Planning & Elder Law Attorneys

Logo
CONNECT WITH US TODAY (314) 966-8077
ATTEND A FREE WEBINAR
Home / Wills and Trusts / Is a Family Wealth Trust Only for the Rich?

Is a Family Wealth Trust Only for the Rich?

February 1, 2019

Wills and Trusts

Family Wealth TrustA trust is among the most popular additions to a well thought out and comprehensive estate plan. If you are contemplating the addition of a trust to your plan, you will need to decide which type of trust best suits your needs. You may have heard of a Family Wealth Trust and thought that’s not the right trust for your plan because you are not wealthy. If so, think again because a Family Wealth Trust is not just for the wealthy. In fact, it might be the perfect trust for your estate plan.

Why Might You Need a Trust?

Initially, a Last Will and Testament may be all you need to ensure that you don’t leave behind an intestate estate is something were to happen to you. As your estate and your family both expand, however, a simple Will may no longer be sufficient to meet all your estate planning needs. There are a multitude of reasons why you might choose to incorporate a trust into your estate plan. Trusts allow you to shelter assets from creditors as well as from spendthrift beneficiaries. Trusts can also provide tax advantages as well as probate avoidance. Finally, a trust allows you to exert a certain amount of control over the assets placed in the trust long after you are gone by creating trust terms that control how the assets are invested and used.

What Is a Trust?

A trust is a fiduciary legal arrangement that allows a third party, referred to as a Trustee, to hold assets on behalf of a beneficiary or beneficiaries. Trusts can be arranged in many ways and can specify exactly how and when the assets pass to the beneficiaries.  All trusts can be broadly divided into two categories – testamentary or living (inter vivos) trusts. Testamentary trusts are typically activated by a provision in the Settlor’s (trust creator) Last Will and Testament and, therefore, do not become active during the lifetime of the Settlor. Conversely, a living trust activates during the Settlor’s lifetime. Living trusts can be further sub-divided into revocable and irrevocable living trusts. If the trust is a revocable living trust, as the name implies, the Settlor may modify or terminate the trust at any time. An irrevocable living trust, however, cannot be modified or revoked by the Settlor at any time nor for any reason unless a court grants the right to revoke or modify the trust.

What Is a Family Wealth Trust and Why Might I Need One?

Despite the name, you do not need to be wealthy to benefit from a Family Wealth Trust (FWT).  While those with large estates can certainly benefit from the inclusion of an FWT in their estate plan, so can those with moderate estates. Basically, an FWT is simply a revocable or irrevocable living trust into which you transfer the majority of your assets.

One significant benefit to an FWT is that, if you choose to create an irrevocable FWT it can protect assets from creditors both now and after your death. Assets held in an FWT may also be safe from claims made by a beneficiary’s spouse in a divorce. Another important benefit to including an FWT in your estate plan is the ability to protect assets meant for your minor children because your minor children cannot legally inherit directly from your estate. An FWT can protect your children’s inheritance until they reach the age of majority and are able to inherit directly. In the event you divorce and remarry at some point, an FWT can also provide for your spouse while simultaneously protecting assets you wish to be preserved for children from a previous marriage. Your spouse can be named as the Trustee of the trust, or you can appoint a close friend or professional Trustee. Your spouse can use or benefit from the property held in your FWT, but he/she does not own those assets.  Ownership in the property held in the Trust is reserved for your children. Finally, because the assets are held in a trust they are not required to go through probate, offering one of the most important advantages of using a Family Wealth Trust to distribute your estate.

Contact Illinois Trust Attorneys

For more information, please join us for an upcoming FREE seminar. If you have additional questions or concerns about a Family Wealth Trust, contact the experienced Illinois trust attorneys at Amen, Gantner & Capriano, Your Estate Matters, LLC by calling (314) 966-8077 to schedule an appointment.

  • Author
  • Recent Posts
Paul Gantner
Paul Gantner
I am an owner of Amen, Gantner & Capriano, Your Estate Matters, L.L.C. I have been able to bring my business and legal education and experience into a firm that has for many years provided comprehensive estate plans that meet clients’ needs and expectations.My passion has been creating and constantly pushing AGC’s mission of “Helping Families Secure their Legacies by Embracing them into the Law Firm Family through Long-term, Personal Advisory Relationships.”
Paul Gantner
Latest posts by Paul Gantner (see all)
  • What Happens When You Don’t Trust Your Trustee – Part I - March 28, 2023
  • Show Your Love by Creating an Estate Plan - March 21, 2023
  • What You Need to Know About SECURE Act 2.0 - March 14, 2023

Filed Under: Wills and Trusts

Other Articles You May Find Useful

Amen, Gantner & Capriano | Your Estate Matters, L.L.C.
Do You Still Need an ILIT?
Amen, Gantner & Capriano | Your Estate Matters, L.L.C.
Appointing a Trustee—Questions to Ask
Wills and trust
The Danger in DIY Wills and Trusts
trust law firm
5 Reasons You Might Need a Trust Law Firm
revocable family trust
How Might a Revocable Family Trust Fit into Your Estate Plan?
Wills and trusts
5 Things You Need to Know about Wills and Trusts

About Paul Gantner

I am an owner of Amen, Gantner & Capriano, Your Estate Matters, L.L.C. I have been able to bring my business and legal education and experience into a firm that has for many years provided comprehensive estate plans that meet clients’ needs and expectations. My passion has been creating and constantly pushing AGC’s mission of “Helping Families Secure their Legacies by Embracing them into the Law Firm Family through Long-term, Personal Advisory Relationships.”

Primary Sidebar

Download our free Estate Planning Worksheet

There's a lot that goes into setting up a comprehensive estate plan, but with our FREE worksheet, you'll be one step closer to getting yourself and your family on the path to a secure and happy future.

  • This field is for validation purposes and should be left unchanged.

Follow Us

  • Facebook
  • twitter
  • linkedin
  • youtube

Blog Subscription

  • This field is for validation purposes and should be left unchanged.

Where We Are

Amen, Gantner & Capriano
10733 Sunset Office Drive, Suite 425
St. Louis, MO 63127

See Larger MapGet directions

Office Hours

Monday8:30 AM - 5:00 PM
Tuesday8:30 AM - 5:00 PM
Wednesday8:30 AM - 5:00 PM
Thursday8:30 AM - 5:00 PM
Friday8:30 AM - 12:00 PM

Map

map for Amen, Gantner & Capriano Your Estate Matters office
  • Advantages of Working With Our Firm
  • About The American Academy
  • Disclaimer
  • Privacy Policy
  • Sitemap
  • Contact Us

Footer

Connect to us

  • Facebook
  • twitter
  • linkedin
  • youtube
footer-logo

© 2023 American Academy of Estate Planning Attorneys, Inc.

Amen, Gantner & Capriano,
Your Estate Matters, LLC

Attorney Advertisement