Common Trust Fund Questions for Beginners
Are you considering a trust fund? Trust funds are a very useful tool for saving and investing money, but a lot of people aren’t totally sure how to use a trust or even how they work. Trust funds essentially hold assets, like property, a business or money, for the benefit of another person, a group of people or even an organization. There are several common questions regarding trusts, so let’s take a look at some of them.
- How are trust funds structured – a trust fund is a specially created entity that is held in the state where it was formed. In some states you can create perpetual trust funds, which never end, while other states only allow trusts with a termination date.
- What are the reasons to use a trust fund – there are many reasons to set up a trust, but one of the best reasons is that they can protect your assets from creditors. Another reason to use a trust is to protect your assets from untrustworthy family members. You can use a trust to save thousands or even millions of dollars from taxes by donating the trust assets to a charity.
- When is the right time to form a trust – this is a wide-open question because every situation is unique. It depends on your reason for setting up the trust, how much you will be putting into the trust and who will be the beneficiary. It’s best to speak with a professional to determine when the right time is for you.
If you think you are ready to create a trust then come talk with us at GROCO for more ideas and information. One of the biggest factors to consider is how your trust will affect your taxes. We will help you look at all your options and make sure that your trust is set up to be as tax-friendly as possible. Just give us a call at 1-877-CPA-2006, or click here to learn more.
Brian Smedley – Chief Economist at Guggenheim Investments
The Economic Forecaster – Brian Smedley Droves of anxious people take to the arid streets of Tatooine. The desert planet recently experienced a decline in GDP and now with inflation on the rise, rash financial decisions made by the population were a real danger. As the crowd continues onward, it is confronted by a stranger.…
10 Steps for TikTok Marketing
With over 500 million active users, TikTok is a social media powerhouse that you can’t afford to ignore. Here are 10 steps for marketing your business on TikTok. 1. Research your audience: Who are you trying to reach with your TikTok marketing? What are their demographics? What type of content do they consume and engage…
Business Valuation Terms Explained “DLOCK” Vs “MID”
The Discount for Lack of Control (DLOC) vs. The Minority Interest Discount (MID) The Business Valuation Glossary provides these definitions of two similar terms: Discount for Lack of Control – an amount or percentage deducted from the pro rata share of value of 100% of an equity interest in a business to reflect the absence…
The “My Path” Book is now available on Amazon!
Dear American Dreams Show Subscribers, “My Path” is now available on Amazon! We are excited and proud to announce that after a decade of interviewing some of the most interesting and successful business and thought leaders in the world, the American Dreams Show’s Host, Alan Olsen, has published the first book based on a…