Can a trustee be a beneficiary of a trust?
Yes indeed, a trustee can also be a beneficiary of the trust.
There is no inherent legal prohibition preventing a trustee from also being named as a beneficiary in the same trust. This is a common practice, especially in family trusts, where individuals may wear multiple hats within the trust structure.
In many family trusts, the founder may appoint family members or close associates as both trustees and beneficiaries. This allows for family wealth management while maintaining a level of control and involvement in the trust. However, it's crucial to ensure that the trust deed clearly defines the roles and responsibilities of the trustees and outlines any specific conditions or restrictions regarding their status as beneficiaries.
There is no inherent legal prohibition preventing a trustee from also being named as a beneficiary in the same trust. This is a common practice, especially in family trusts, where individuals may wear multiple hats within the trust structure.
In many family trusts, the founder may appoint family members or close associates as both trustees and beneficiaries. This allows for family wealth management while maintaining a level of control and involvement in the trust. However, it's crucial to ensure that the trust deed clearly defines the roles and responsibilities of the trustees and outlines any specific conditions or restrictions regarding their status as beneficiaries.
Updated on: 08/04/2024
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