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Professional Services
Q. Can a trust help with a beneficiary that can’t manage money?
A. We have all heard the story of the lottery winner who quickly squanders their winnings. Unfortunately, individuals that come into wealth unexpectedly, often make poor financial decisions. If you are concerned that your beneficiaries may struggle with responsibly managing their inheritance, a trust might be the solution.
A trust can be crafted with language that gives the Trustee discretion to distribute income and/or principal for the benefit of the beneficiary. In doing this, it is the Trustee who will make the determination if the distribution is in line with the purpose of the trust. This can avoid the problem of a beneficiary quickly spending their inheritance on “wants” instead of preserving funds for “needs”.
of eight was over 65.
By 2050, the elderly population is expected to double to 80 million. This means 20% of the population will be over 65.
With more than 70 million baby boomers rolling over retirement age, increasing numbers of people will suffer from Alzheimer’s disease, since 50% of people over 85 are stricken.
And that’s but one of a multitude of health issues.
Now, suppose health is not an issue. Suppose you’re healthy and hale and plan to enjoy life.
Ryan Hahn
Trust Administrator
In addition, a spendthrift provision can safeguard assets from creditors and bankruptcy. If a beneficiary got into financial trouble, their creditors cannot come after any of the inheritance that is held in trust. This works because assets held in trust legally belong to the trust and not the beneficiary.
DISCLOSURE: This information is not designed, meant, nor does it constitute the rendering of legal or tax advice. You should consult with your attorney and/or tax advisor before implementing any strategy discussed here. Trust services provided by MEMBERS Trust Company are not federally insured, are not obligations of or guaranteed by the credit union or any affiliated entity, involve investment risks, including the possible loss of principle. MEMBERS Trust Company is a federal thrift regulated by the Office of the Comptroller or the Currency.
Ryan Hahn Trust Administrator Wealth Management Center
110 S. Main St. South Bend, Indiana 46601 (574) 284-6210, ext. 6232
Do you have a retirement fund large enough to last you for as long as you’d like to live?
Will you be able to play golf, take vacations, visit family, maintain your residence, go fishing, or keep up your hobby or whatever in the manner in which you’d like?
On the plus side of this equation is that more than 90% of Americans feel they should be able to work as long as they are able. About 25% see “retirement” as a time for relaxation.
The baby boomer phalanx is
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Q. Where are Senior Life Newspapers distributed?
A. Each Senior Life Newspaper is distributed to over 300 locations each month and is free for public pickup and supported by advertisers. Locations for distribution are chosen with the 50+ aged person in mind and include Grocery Stores, Libraries, Senior Centers, Restaurants, Senior Communities, Banks, Apartment Complexes, Doctor Offices, Drug Stores, Farmer’s Market, Resale locations, Churches, Convenient Stores, and Retail Stores.
There are four distinct issues of Senior Life Newspaper including St. Joseph County (extending to LaPorte and Marshall in IN and Berrien & Cass in MI), Elkhart (extending to LaGrange, Noble, Kosciusko and Wabash in IN and St. Joseph MI, Allen (Ft. Wayne) County (extending into DeKalb, Noble, Whitley, Huntington, Wells and Adams Counties), and our Northwest issue covering Lake & Porter Counties.
also bringing some good news. Since the population is aging and there are more people in middle age, 60% of Americans believe 71 and over is old age.
Changing attitudes will result in increased numbers of older people who will continue to work or start their own businesses. No longer will there be social pressure to “hang it up” at a certain age.
And more seniors will be able to enjoy financial security in their old age.
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