Dynasty Trust State Rankings

Dynasty Trust State Rankings

 The third annual dynasty trust state rankings chart has been released.  To read the article and access the chart click HERE. Each one of the trust states in the chart have impressive dynasty trust laws, but which one has the best?  Was there a shift from last years chart?A dynasty trust is an irrevocable trust used to avoid estate taxes by holding assets in trust for multiple generations.  The trust assets grow and compound within the trust free of estate taxes that normally would be levied at the death of each generation.  The duration of the trust depends on the laws of the state under which it is governed, this is referred to as the “rule against perpetuities.” In Nevada, a dynasty trust can last 365 years! This is how real family wealth has been created.Most trusts have standard mandatory distributions at 25, 30, and 35.  Beneficiaries receive 1/3 of the balance at 25, and then half of the balance at 30, and half at 35.  Dynasty trusts encourage the trustee to hold the assets in trust and let the beneficiaries use the trust property instead of taking an outright distribution. If beneficiaries receive an outright distribution the trust assets are subject to estate taxes, their future creditors and predators, and divorcing spouses.  Keeping the assets in trust is the best creditor protection for the beneficiaries.If you have any questions or would like any information email us at info@premiertrust.com or call us at 702-577-1777. Work with a Company You Can Trust.