Trusts sometimes attract negative publicity. There is a perception that they are simply a way for the very wealthy to avoid tax by locating funds and other assets offshore.
In fact, a Trust is an entirely legitimate legal entity created to protect assets. For example, they can be used:
- To help you save inheritance tax so that more of your property goes directly to your loved ones when you die
- As an effective way to deal with some of the complexities of modern family life — so children of previous marriages, stepchildren and children of unmarried partners are protected
- As a mechanism to protect your family home if you are means tested for care home costs in the future
Types of Trusts
- Personal Injury Trusts — Suitable for those who have received compensation and who wish to protect the lump sum and any means-tested benefits to which they are entitled. This type of Trust can also help the injured party retain control over his or her compensation in the event of divorce.
- Will Trusts — One that is included in a Will and comes into force when you die
- Lifetime Trusts — Moving assets to a Trust for children or grandchildren who you think are too young to receive them. A well-established way of reducing your liability to inheritance tax
OMM’s dedicated team of Trust solicitors in Leighton Buzzard has the expertise to advise whether a Trust is suitable for you. We also administer the Trusts we create so that they are operated as efficiently as possible.
To find out whether a Trust is appropriate for you, please call us on 01525 378177 or contact us online. We act for clients throughout the Home Counties.