Overview
A Private Purpose Trust can create a fund for education, medical assistance, maintenance, charity, liabilities, or beneficiaries outside the immediate family.
Objectives
- Take care of a certain person such as a distant relative
- Free family members from outstanding loans and liabilities
- Provide family needs while waiting for probate or letter of administration
- Create funds for education, medical assistance, maintenance, charity, special needs children, future generations, or relatives
How a Private Purpose Trust helps
- Beneficiaries are not limited to family members
- Multiple levels of beneficiaries and multiple purposes can be planned
- Can finance probate or administration applications without burdening family members
- Assets in the trust do not form part of the estate and can be used immediately for stated purposes
Next step
The right structure depends on family relationships, assets, liabilities, nominees, beneficiaries, and business interests. A consultation helps confirm which document or trust arrangement is suitable.