Understanding Testamentary Trusts Under U.S. Wills and Estate Law

When planning for the future, many individuals seek to protect their assets and ensure that their loved ones are cared for after they pass. One powerful estate planning tool available under U.S. law is the testamentary trust. A testamentary trust offers control, protection, and flexibility in distributing an estate—especially when beneficiaries are minors or financially inexperienced.

What Is a Testamentary Trust?

A testamentary trust is a legal arrangement created through a person’s last will and testament. It only takes effect upon the death of the individual who created the will (the "testator"). Unlike living trusts, which are established during the testator’s lifetime, testamentary trusts are “testamentary” because they are triggered by a will and become active after the probate process.

Key Features of a Testamentary Trust

• Created by a will: Incorporated directly into the language of the will
• Takes effect after death: Not operational during the testator’s lifetime
• Managed by a trustee: The testator names a trustee to manage and distribute the trust assets
• Used to control distribution: Allows assets to be distributed over time or under specific conditions

If you're considering a testamentary trust or updating your will, our firm can provide personalized guidance to help you create a thoughtful and effective estate plan. Contact us to schedule a consultation and secure peace of mind for your loved ones.