Assets left to an individual are “up for grabs” once in the recipient’s hands. In the event of a divorce, it’s possible this inheritance would be added to the matrimonial asset pool and split up. In the case of a bankruptcy, a trustee would have full access to the inheritance to repay debts. One way to protect this is by setting up testamentary trusts as part of your will.

In Suzanne’s case we set up these trusts in as a way to future proof her children’s inheritance. Suzanne felt very strongly that what she’d accumulated was for her children and grandchildren and not for anyone else. A testamentary trust was her way of carrying out her wishes. It also gave the family the added advantage of potentially reduced tax if the beneficiaries are children under 18.