A family trust is generally relates to a discretionary that has been set up to either hold a family's assets or conduct a family business. Common reasons for their use include to:
assist in protecting your family's combined assets from the liabilities of one or more of the family individuals (for instance, in the event of a family members' personal bankruptcy, any assets held in a family trust would be protected);
provide a sure method to pass family assets to future generations; and
access favourable taxation treatment by allocating income so that all family members use their annual tax-free threshold.
Aside from the above, a family trust can provide other potential advantages such as avoiding challenges to the Will following a death in the family.
Our planners can assist in identifying whether a family trust could provide benefit in your situation and assist in its setup, ongoing management and identification and avoidance of any issues.
Schedule a consultation with one of our Family Trust specialist planners.