A testamentary trust is a sophisticated will which includes a trust that comes into effect at the time of your death.
Testamentary trusts are the preferred option for will makers who wish to:
- Benefit from tax advantages;
- Exercise some control over how their assets will be managed;
- Protect their estate from their beneficiaries’ creditors; or
- Protect their estate from a beneficiary who is involved in a relationship breakdown;
Testamentary trusts can be an effective estate planning mechanism, however further legal and financial advice should be obtained before considering if a testamentary trust is right for your circumstances.