It is possible to include either one corporate trustee or up to three individual trustees. A trustee can also be a beneficiary provided that it is not the sole trustee and beneficiary. If there is another trustee, or another beneficiary as well, then it is acceptable.
What is the role of a trustee in a family trust?
The trustee acts as the legal owner of trust assets, and is responsible for handling any of the assets held in trust, tax filings for the trust, and distributing the assets according to the terms of the trust.
Can a family trust be changed at any time?
Similarly, the identities of the trustee (s) and beneficiaries can be changed by the grantor at any time. What also can be changed is how the assets are dispersed. For example, you could set up the family trust to disperse the assets at various ages of your surviving child. The could get 1/3 of the income at age 45. The other 1/3 at 55.
Who are the beneficiaries of a family trust?
In my world, a “family trust” normally refers to a joint tenancy revocable trust (think husband and wife) as grantors (settlors), trustees and beneficiaries (trustee and beneficiary during life times). When just one individual is involved it’s normally called living trust, revocable trust, grantor trust, etc.
When does trust a become part of the family group?
The FTE specifies the same individual named in the FTE of Trust A resulting in Trust B becoming part of the specified individual’s family group. As Trust B has a FTE in force from 1 July 2013, it is treated as having been a member of the family group in relation to the $50,000 distribution made by the trustee of Trust A in the 2014–15 income year.
Can a revocable trust be set up for elderly parents?
When you are establishing a living trust for elderly parents, it is important to consider what type would work best for their situation and needs. A revocable trust allows the grantor to revise or revoke the terms of the trust at any time without any consent from its beneficiaries.
