Family Trusts

Smart Planning for Your Family’s Future

Family Trusts are powerful tools for protecting assets, minimizing taxes, and managing the orderly transfer of wealth to future generations.

At Fletcher Barrow, we help families structure customized trusts that align with their personal, financial, and estate planning goals.

What is a Family Trust?

A Family Trust is a legal arrangement where a person (the “Settlor”) transfers assets to a Trustee, who holds and manages those assets on behalf of selected beneficiaries — typically family members.

Family Trusts can:

What is a Family Trust?

Why Set Up a Family Trust?

Asset Protection:

Shield family wealth from creditors, lawsuits, or marital claims.

Tax Planning

Income generated by trust assets can sometimes be allocated to beneficiaries in lower tax brackets, reducing the overall tax burden.

Support Minor or Vulnerable Family Members

Manage and distribute assets for beneficiaries who are young, disabled, or financially inexperienced.

Avoid Probate and Privacy Concerns

Assets held in trust do not form part of your estate, helping to bypass probate and maintain privacy.

Control Over Asset Distribution

Specify exactly how and when beneficiaries receive their inheritance (e.g., reaching a certain age or meeting certain conditions).

Succession Planning for Family Businesses

Trusts can provide continuity and structured succession for family-owned businesses.

Types of Family Trusts

Inter Vivos Trust (Living Trust)

  • Created during your lifetime.
  • Assets are transferred into the trust immediately.
  • Can offer tax benefits and immediate asset protection.

Testamentary Trust

  • Created through your Will and only comes into effect upon your death.
  • Offers protection and flexibility for beneficiaries after you pass away

Things to Consider Before Creating a Family Trust

Tax consequences of creating and maintaining the trust.

Because trusts involve complex legal and tax considerations, it’s essential to work with a knowledgeable lawyer and accountant to ensure your trust is properly structured and aligns with your overall estate plan.

Frequently Asked Questions

Can I still control assets after putting them into a trust?

Not directly. Once assets are transferred to the trust, the Trustee manages them. However, you can structure the trust to provide significant guidance and powers to a Trustee you trust.

Are Family Trusts only for wealthy families?

No. Family Trusts can benefit families of all sizes and income levels, especially where asset protection, tax planning, or special family circumstances are important.

Are there annual costs associated with trusts?

Yes. Trusts may incur administrative, legal, and accounting fees each year. However, the financial and protective benefits often outweigh these costs.

Can a Family Trust be changed or revoked?

It depends. Some trusts are revocable (can be changed) and others are irrevocable. We’ll help you choose the right structure based on your goals.

How long does a Family Trust last?

A Family Trust can last for a set number of years or until certain events occur (such as the beneficiaries reaching a certain age).

Protect Your Family’s Future — Today

At Fletcher Barrow, we take the complexity out of Family Trusts and create tailored solutions that protect what matters most to you.

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