When it comes to inheritance from a family trust, the key to understanding what your children may be entitled to lies in the trust’s structure and legal designations. If a trust was set up that included your late husband, the distribution of assets depends entirely on the trust’s terms. Here’s how to navigate the process and ensure your children receive what they are entitled to.
Steps to Determine Your Children’s Inheritance
- Identify the Trustee
The trustee is responsible for managing and distributing the trust’s assets. Reaching out to them can help clarify who the beneficiaries are and how the trust is intended to be divided. - Obtain a Copy of the Trust Document
The trust document lays out the exact terms of asset distribution. If the trustee does not provide access to it, consulting an estate planning attorney can help you obtain and interpret the necessary details. - Understand State Laws
Each state has its own trust administration laws, which can affect access to trust documents and inheritance rights. Understanding these laws can help determine whether your children are entitled to your late husband’s portion. - Determine Beneficiary Designations
The trust may specify how assets are passed down. A “per stirpes” designation means that if a beneficiary (like your husband) passes away, their share goes to their children. A “per capita” designation, however, may redistribute assets among surviving beneficiaries, potentially leaving your children out. - Ascertain the Trust’s Revocability
If the trust is revocable, changes may be possible to ensure your children receive an inheritance. However, if it is irrevocable, modifications are generally not allowed, making it essential to fully understand its terms.
Taking Action
Gathering the right information and seeking legal guidance can help you navigate the complexities of trust inheritance. Understanding the trust’s structure, confirming your children’s rights, and consulting professionals if needed will ensure that their financial interests are protected.