You can set it up so your son may unilaterally make distributions to his issue. Most of our Wills and trusts give the primary beneficiary a broad power of appointment (after reaching a specified age) which allows him/her to appoint trust assets to his/her issue (or to anyone except himself/herself or his/her estate or creditors).... Since it is likely that my son might do withdrawals only on rare occasions and would probably leave most of it to future grand kids, being a beneficiary along with future grand kids can we setup so that he will need a co-trustee to sign off only when he is withdrawing for himself and not needed when withdrawing for grand kids. He can temporarily setup a co-trustee only when he needs to withdraw and not all the time. Would that be safe from an asset protection standpoint?
I've never toggled co-trustees and have no comment as to that. My preference is a co-trustee from the inception. However, where clients wanted it, I've sometimes provided for the primary benefciary to be the sole trustee with the power to add a co-trustee.
Statistics: Posted by bsteiner — Sat Sep 13, 2025 12:02 pm — Replies 39 — Views 3173