March 17, 2018
How a Legacy Inheritance Trust Protects Your Loved Ones
A Legacy Inheritance Trust is a trust language that can be built into a revocable living trust or a Castle Trust. The purpose of the Legacy Inheritance Trust is to protect your loved ones from divorces, creditors, lawsuits, and to ensure that the money you work so hard for stays in the bloodline instead of being lost to an in-law/outlaw.
Benefits of Legacy Inheritance Trust (LIT)
A Legacy Inheritance Trust offers many benefits compared to the usual 25, 30, 35 distribution pattern. The problem with the old style 25, 30, 35 distribution pattern is that all you are doing is launching pillow cases of money over whats called the wall of time. What happens if your daughter gets divorced at age 36? Half that money could be gone. What happens if she passes away at 36? All that money might go to the in-law who may remarry.
Instead, your legacy can be protected in a Legacy Inheritance Trust to ensure the assets stay in the bloodline, in the family, and don’t go to in-laws.
The benefits of a Legacy Inheritance Trust (LIT) include:
- Asset Protection
- Divorce Protection
- Creditor Protection
- Bloodline Protection
How to Set Up a Legacy Inheritance Trust
A Legacy Inheritance Trust (LIT) can be set up inside of a Castle Trust or a Revocable Living Trust. It is a special provision that determines how assets are left to the next generation. Instead of leaving things outright to the beneficiary, it’s held in trust so that the beneficiary has the opportunity to receive the money so it’s protected from creditors, divorce, and lawsuits.