Do you know how much is in the family trust?

[Anonymous]

Anonymous wrote:There was a mysterious family trust that I had to pay taxes on for years. My grandmother gave me 1K from it every year. The tax amount was minimal so I didn't care that much.

It was a little weird to me that i was never given the details of it.

It turned out that after my grandmother's death it was distributed to her children. So, what I got was 1K a year for 25 years and then nothing. It was a lot of tax complication for a small amount. I wonder if the amount the accountant charged for sending out dozens of tax forms each year was more or less than the amount that was even disbursed.

That said, those 1K checks in my younger days were much appreciated.

You are probably a remainder man after you parents' generations. Meaning, they are likely entitled to spend the trust money for their own needs, and if there is any left over, it will be divided among the grandkids.

[Anonymous]

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Anonymous wrote:PP here. Is that weird that my parents have me pay the annual fee for a trust that’s unclear if it’s funded? I have 3+ kids (only sibling with children) and it’s kind of a pain to write this check every year. I’m like putting my own questionable inheritance on layaway

I am the family coordinator for about the ten trusts in my extended family and a layer, though not a trust and estate lawyer, and I have no idea what you are talking about.

That’s fair. I’m confused myself. Do the extended family members pay an annual fee into their respective trusts that they are beneficiaries of?

Np. I’m a trustee on a trust and I’m also confused. I get a set amount each year to be the administrator and that is paid by the trust, from the trusts bank account. No, the beneficiaries don’t pay.

Also, I’m required to provide an annual accounting to the beneficiaries detailing beginning/ending balances of investments and any expenses.

I truly have no idea what you are paying.

Yep. this is standard. As a beneficiary you have the right to ask for a yearly accounting. They might have funded a minimal amount to have it ready to go. And you should have a copy of the actual trust and actually read it. I’ve never heard of a beneficiary paying yearly administrative expenses.

Stop paying it without getting your questions answered. Who do you make the check to?

PP here writing the annual fee to the trust company. My dad owns a business and set up a series of trusts. He said one day some big deal would fully find it and pay $1MM into the trust, which today sits at $0 according to the annual statement I receive. I receive an invoice from the trustee firm each summer showing I owe $600 for the management fee. So far I’ve paid $6,000. I’m so confused.

I think your dad may be scamming you. I’m sorry. My dad and uncle scammed me when I was 16, after I’d been working for a few years. The greatest lesson was that I learned all about finances and investing in HS because I didn’t want to end up like that again.

My dad died with a trust that only had his house in it, and maybe a few assets. But, it was poorly written, since my dad was terrible with $$, obvs. He also married a scammer.

We set up a family trust that feeds into trusts we set up for the kids. They’re in college, and while we had a family meeting with our lawyer, we didn’t disclose the amounts. We will later, but it will be $5-10M each.

Nice humble brag. But 5-10 million is such a big range that I smell bullshit.

Different poster here but it's not bullshit. We are 100% in stocks and obviously cannot tell our kids what they're going to inherit - it depends on stock market fluctuations. Right now there's ~15M in the portfolio and I'm in my 40s. Unless there's a major financial catastrophe or I die very soon... they might inherit much more, individually, than what's currently in there, just through market gains. 25 years ago this portfolio was worth very little! The market has been incredible for high tech in recent decades and I don't see it slow down any time soon. We have explained this to our children, and so they know that they cannot rely on a specific sum. They still need to attend college, start a career, work steadily and invest their own money. And then they'll see.

So perhaps all the old people with trusts aren't divulging what's in it because by the time their adult kids inherit it might change. I think they should still be transparent about current sums, but the older generation has perhaps more taboos surrounding money than mine.

I think it’s really odd and a big mistake for you to tell your young kids that you have that kind of money. It’s sad, really. You honestly think you can just “explain” the market to kids that young and that knowing they have that much money isn’t going to affect them and how they view their peers etc? It’s just so completely unnecessary and potentially counterproductive. We had plenty of money when our kids were younger and never dreamed of sharing it with them. What exactly is to be gained?

They were teens when we told them, PP. Plenty old enough, in my opinion. They have worked really hard in high school, and now college, and have great work ethic. Maybe your kids are different, but mine are mature about the responsibilities of managing money. They don't view their peers in any particular way - some of them have way less, some of them probably have more. We have poor and rich relatives. We don't come from the US and we've had a wide range of life experience, PP.

You can be sad if you want, though. After all, you did make the wrong assumptions and seem to be extremely narrow-minded and generally inexperienced in life. Age isn't a sole determinator of wisdom, age of kids or what you've done in your life.

Sure.

As I said, we’re wealthy too. We didn’t have to tell our kids when they were teens because they already knew it by then. As yours surely did too. And ours also worked really hard in high school and college and are now highly successful adults who manage their money well and still to this day know we have money but have no idea how much. The difference is that we didn’t down and brag to them about our wealth.

See, I actually have more life experience than you. Not less. Check back in when your kids are actually independent adults, ok?

DP here. I bet you are super fun at parties. /s

[Anonymous]

Anonymous wrote:

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Anonymous wrote:PP here. Is that weird that my parents have me pay the annual fee for a trust that’s unclear if it’s funded? I have 3+ kids (only sibling with children) and it’s kind of a pain to write this check every year. I’m like putting my own questionable inheritance on layaway

I am the family coordinator for about the ten trusts in my extended family and a layer, though not a trust and estate lawyer, and I have no idea what you are talking about.

That’s fair. I’m confused myself. Do the extended family members pay an annual fee into their respective trusts that they are beneficiaries of?

Np. I’m a trustee on a trust and I’m also confused. I get a set amount each year to be the administrator and that is paid by the trust, from the trusts bank account. No, the beneficiaries don’t pay.

Also, I’m required to provide an annual accounting to the beneficiaries detailing beginning/ending balances of investments and any expenses.

I truly have no idea what you are paying.

Yep. this is standard. As a beneficiary you have the right to ask for a yearly accounting. They might have funded a minimal amount to have it ready to go. And you should have a copy of the actual trust and actually read it. I’ve never heard of a beneficiary paying yearly administrative expenses.

Stop paying it without getting your questions answered. Who do you make the check to?

PP here writing the annual fee to the trust company. My dad owns a business and set up a series of trusts. He said one day some big deal would fully find it and pay $1MM into the trust, which today sits at $0 according to the annual statement I receive. I receive an invoice from the trustee firm each summer showing I owe $600 for the management fee. So far I’ve paid $6,000. I’m so confused.

I think your dad may be scamming you. I’m sorry. My dad and uncle scammed me when I was 16, after I’d been working for a few years. The greatest lesson was that I learned all about finances and investing in HS because I didn’t want to end up like that again.

My dad died with a trust that only had his house in it, and maybe a few assets. But, it was poorly written, since my dad was terrible with $$, obvs. He also married a scammer.

We set up a family trust that feeds into trusts we set up for the kids. They’re in college, and while we had a family meeting with our lawyer, we didn’t disclose the amounts. We will later, but it will be $5-10M each.

Nice humble brag. But 5-10 million is such a big range that I smell bullshit.

Different poster here but it's not bullshit. We are 100% in stocks and obviously cannot tell our kids what they're going to inherit - it depends on stock market fluctuations. Right now there's ~15M in the portfolio and I'm in my 40s. Unless there's a major financial catastrophe or I die very soon... they might inherit much more, individually, than what's currently in there, just through market gains. 25 years ago this portfolio was worth very little! The market has been incredible for high tech in recent decades and I don't see it slow down any time soon. We have explained this to our children, and so they know that they cannot rely on a specific sum. They still need to attend college, start a career, work steadily and invest their own money. And then they'll see.

So perhaps all the old people with trusts aren't divulging what's in it because by the time their adult kids inherit it might change. I think they should still be transparent about current sums, but the older generation has perhaps more taboos surrounding money than mine.

I think it’s really odd and a big mistake for you to tell your young kids that you have that kind of money. It’s sad, really. You honestly think you can just “explain” the market to kids that young and that knowing they have that much money isn’t going to affect them and how they view their peers etc? It’s just so completely unnecessary and potentially counterproductive. We had plenty of money when our kids were younger and never dreamed of sharing it with them. What exactly is to be gained?

They were teens when we told them, PP. Plenty old enough, in my opinion. They have worked really hard in high school, and now college, and have great work ethic. Maybe your kids are different, but mine are mature about the responsibilities of managing money. They don't view their peers in any particular way - some of them have way less, some of them probably have more. We have poor and rich relatives. We don't come from the US and we've had a wide range of life experience, PP.

You can be sad if you want, though. After all, you did make the wrong assumptions and seem to be extremely narrow-minded and generally inexperienced in life. Age isn't a sole determinator of wisdom, age of kids or what you've done in your life.

Sure.

As I said, we’re wealthy too. We didn’t have to tell our kids when they were teens because they already knew it by then. As yours surely did too. And ours also worked really hard in high school and college and are now highly successful adults who manage their money well and still to this day know we have money but have no idea how much. The difference is that we didn’t down and brag to them about our wealth.

See, I actually have more life experience than you. Not less. Check back in when your kids are actually independent adults, ok?

Why are you triggered? You're attacking another poster for nothing. Focus on your own family. You don't have the answers for someone else.

It sounds like you're jealous or something. Weird.

[Anonymous]

My parents are pretty tight lipped about it however I have a general idea. My husband’s father has said nothing about the amount he has. I think parents should be telling their kids some basic info! Our parents are in their high 70’s.

[Anonymous]

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Anonymous wrote:PP here. Is that weird that my parents have me pay the annual fee for a trust that’s unclear if it’s funded? I have 3+ kids (only sibling with children) and it’s kind of a pain to write this check every year. I’m like putting my own questionable inheritance on layaway

I am the family coordinator for about the ten trusts in my extended family and a layer, though not a trust and estate lawyer, and I have no idea what you are talking about.

That’s fair. I’m confused myself. Do the extended family members pay an annual fee into their respective trusts that they are beneficiaries of?

Np. I’m a trustee on a trust and I’m also confused. I get a set amount each year to be the administrator and that is paid by the trust, from the trusts bank account. No, the beneficiaries don’t pay.

Also, I’m required to provide an annual accounting to the beneficiaries detailing beginning/ending balances of investments and any expenses.

I truly have no idea what you are paying.

Yep. this is standard. As a beneficiary you have the right to ask for a yearly accounting. They might have funded a minimal amount to have it ready to go. And you should have a copy of the actual trust and actually read it. I’ve never heard of a beneficiary paying yearly administrative expenses.

Stop paying it without getting your questions answered. Who do you make the check to?

PP here writing the annual fee to the trust company. My dad owns a business and set up a series of trusts. He said one day some big deal would fully find it and pay $1MM into the trust, which today sits at $0 according to the annual statement I receive. I receive an invoice from the trustee firm each summer showing I owe $600 for the management fee. So far I’ve paid $6,000. I’m so confused.

I think your dad may be scamming you. I’m sorry. My dad and uncle scammed me when I was 16, after I’d been working for a few years. The greatest lesson was that I learned all about finances and investing in HS because I didn’t want to end up like that again.

My dad died with a trust that only had his house in it, and maybe a few assets. But, it was poorly written, since my dad was terrible with $$, obvs. He also married a scammer.

We set up a family trust that feeds into trusts we set up for the kids. They’re in college, and while we had a family meeting with our lawyer, we didn’t disclose the amounts. We will later, but it will be $5-10M each.

Nice humble brag. But 5-10 million is such a big range that I smell bullshit.

Different poster here but it's not bullshit. We are 100% in stocks and obviously cannot tell our kids what they're going to inherit - it depends on stock market fluctuations. Right now there's ~15M in the portfolio and I'm in my 40s. Unless there's a major financial catastrophe or I die very soon... they might inherit much more, individually, than what's currently in there, just through market gains. 25 years ago this portfolio was worth very little! The market has been incredible for high tech in recent decades and I don't see it slow down any time soon. We have explained this to our children, and so they know that they cannot rely on a specific sum. They still need to attend college, start a career, work steadily and invest their own money. And then they'll see.

So perhaps all the old people with trusts aren't divulging what's in it because by the time their adult kids inherit it might change. I think they should still be transparent about current sums, but the older generation has perhaps more taboos surrounding money than mine.

I think it’s really odd and a big mistake for you to tell your young kids that you have that kind of money. It’s sad, really. You honestly think you can just “explain” the market to kids that young and that knowing they have that much money isn’t going to affect them and how they view their peers etc? It’s just so completely unnecessary and potentially counterproductive. We had plenty of money when our kids were younger and never dreamed of sharing it with them. What exactly is to be gained?

They were teens when we told them, PP. Plenty old enough, in my opinion. They have worked really hard in high school, and now college, and have great work ethic. Maybe your kids are different, but mine are mature about the responsibilities of managing money. They don't view their peers in any particular way - some of them have way less, some of them probably have more. We have poor and rich relatives. We don't come from the US and we've had a wide range of life experience, PP.

You can be sad if you want, though. After all, you did make the wrong assumptions and seem to be extremely narrow-minded and generally inexperienced in life. Age isn't a sole determinator of wisdom, age of kids or what you've done in your life.

Sure.

As I said, we’re wealthy too. We didn’t have to tell our kids when they were teens because they already knew it by then. As yours surely did too. And ours also worked really hard in high school and college and are now highly successful adults who manage their money well and still to this day know we have money but have no idea how much. The difference is that we didn’t down and brag to them about our wealth.

See, I actually have more life experience than you. Not less. Check back in when your kids are actually independent adults, ok?

DP here. I bet you are super fun at parties. /s

Ha ha I sure am! You have no idea!

[Anonymous]

Anonymous wrote:

Anonymous wrote:

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Anonymous wrote:PP here. Is that weird that my parents have me pay the annual fee for a trust that’s unclear if it’s funded? I have 3+ kids (only sibling with children) and it’s kind of a pain to write this check every year. I’m like putting my own questionable inheritance on layaway

I am the family coordinator for about the ten trusts in my extended family and a layer, though not a trust and estate lawyer, and I have no idea what you are talking about.

That’s fair. I’m confused myself. Do the extended family members pay an annual fee into their respective trusts that they are beneficiaries of?

Np. I’m a trustee on a trust and I’m also confused. I get a set amount each year to be the administrator and that is paid by the trust, from the trusts bank account. No, the beneficiaries don’t pay.

Also, I’m required to provide an annual accounting to the beneficiaries detailing beginning/ending balances of investments and any expenses.

I truly have no idea what you are paying.

Yep. this is standard. As a beneficiary you have the right to ask for a yearly accounting. They might have funded a minimal amount to have it ready to go. And you should have a copy of the actual trust and actually read it. I’ve never heard of a beneficiary paying yearly administrative expenses.

Stop paying it without getting your questions answered. Who do you make the check to?

PP here writing the annual fee to the trust company. My dad owns a business and set up a series of trusts. He said one day some big deal would fully find it and pay $1MM into the trust, which today sits at $0 according to the annual statement I receive. I receive an invoice from the trustee firm each summer showing I owe $600 for the management fee. So far I’ve paid $6,000. I’m so confused.

I think your dad may be scamming you. I’m sorry. My dad and uncle scammed me when I was 16, after I’d been working for a few years. The greatest lesson was that I learned all about finances and investing in HS because I didn’t want to end up like that again.

My dad died with a trust that only had his house in it, and maybe a few assets. But, it was poorly written, since my dad was terrible with $$, obvs. He also married a scammer.

We set up a family trust that feeds into trusts we set up for the kids. They’re in college, and while we had a family meeting with our lawyer, we didn’t disclose the amounts. We will later, but it will be $5-10M each.

Nice humble brag. But 5-10 million is such a big range that I smell bullshit.

Different poster here but it's not bullshit. We are 100% in stocks and obviously cannot tell our kids what they're going to inherit - it depends on stock market fluctuations. Right now there's ~15M in the portfolio and I'm in my 40s. Unless there's a major financial catastrophe or I die very soon... they might inherit much more, individually, than what's currently in there, just through market gains. 25 years ago this portfolio was worth very little! The market has been incredible for high tech in recent decades and I don't see it slow down any time soon. We have explained this to our children, and so they know that they cannot rely on a specific sum. They still need to attend college, start a career, work steadily and invest their own money. And then they'll see.

So perhaps all the old people with trusts aren't divulging what's in it because by the time their adult kids inherit it might change. I think they should still be transparent about current sums, but the older generation has perhaps more taboos surrounding money than mine.

I think it’s really odd and a big mistake for you to tell your young kids that you have that kind of money. It’s sad, really. You honestly think you can just “explain” the market to kids that young and that knowing they have that much money isn’t going to affect them and how they view their peers etc? It’s just so completely unnecessary and potentially counterproductive. We had plenty of money when our kids were younger and never dreamed of sharing it with them. What exactly is to be gained?

They were teens when we told them, PP. Plenty old enough, in my opinion. They have worked really hard in high school, and now college, and have great work ethic. Maybe your kids are different, but mine are mature about the responsibilities of managing money. They don't view their peers in any particular way - some of them have way less, some of them probably have more. We have poor and rich relatives. We don't come from the US and we've had a wide range of life experience, PP.

You can be sad if you want, though. After all, you did make the wrong assumptions and seem to be extremely narrow-minded and generally inexperienced in life. Age isn't a sole determinator of wisdom, age of kids or what you've done in your life.

Sure.

As I said, we’re wealthy too. We didn’t have to tell our kids when they were teens because they already knew it by then. As yours surely did too. And ours also worked really hard in high school and college and are now highly successful adults who manage their money well and still to this day know we have money but have no idea how much. The difference is that we didn’t down and brag to them about our wealth.

See, I actually have more life experience than you. Not less. Check back in when your kids are actually independent adults, ok?

Why are you triggered? You're attacking another poster for nothing. Focus on your own family. You don't have the answers for someone else.

It sounds like you're jealous or something. Weird.

I just think it’s a weird flex to tell your teenagers you have millions of dollars, that’s all. It sends the wrong message. And as I said, we too are rich so there’s no reason to be jealous.

[Anonymous]

Anonymous wrote:I always assume there will be no money. Even my wealthy uncle got nearly wiped out due to end of life expenses and specialized memory care.

The upcoming Jimmy Buffet estate trust court case is going to be an interesting one to follow.

Jimmy was supposedly worth over 1 billion when he passed. The financial management company won't tell the wife how much is in the trust and just that she will only receive around 2 million dollars/year, and will need to start selling off assets. He and his wife were college sweethearts, and were together his entire life, from a nobody playing in dive bars to a billionaire.

[Anonymous]

In one of my parent’s families there’s a trust (GST) that apparently I’m one of the beneficiaries of but nobody talks about it and the only people who’ve said anything to me are folks on the other side of the family, and my parents are long ago divorced. My late grandfather who apparently started the GST was definitely rich though so there was money at some point.

I assume nothing since the people closest to whatever money is left haven’t spoken a word and it’s a large family anyway so even if there’s a lot of $$ it’s going to be split many ways. I just operate under the assumption I’ll get 0.

[Anonymous]

Anonymous wrote:

Anonymous wrote:This is the actual OP.

Somehow I got confused with the person who is paying $600 to maintain his father’s trust.

Neither I nor my sibling are paying any fee. We just don’t know what is in the trust. I feel confident that there is something in there since my father was a very diligent investor and gave me long lectures about the power of compound interest, and urging me to start saving and investing with my first job out of college, which I did and am grateful for. My husband and I know have a great nest egg, such that we don’t need the inheritance from the trust. But curiosity is itching at my brain nonetheless.

My parents have not had any major catastrophes (knock on wood) that would have cost big money, and received an inheritance from the generation before. They are also not big spenders at all.

That is partly what is weird about this, because all of the above has been discussed quite openly, and the amount in the trust is now like the smarty-pants moment of “see what we did here, we lived below our means, saved and invested, and look at what we did.”

Just because your parents say this, doesn’t mean they actually saved and invested, or there is money they will give to you via a trust.

My in-laws talk a big game and there isn’t a lot of money. There are also trusts and some of them just own some land parcels. A lot of people talk a big game and like to string kids along with money.

The next time the trust comes up I’d simply ask to see some statements.

I’ve seen this happen where a middle aged friend was essentially enabled to be unemployed/underemployed for the last 20 years of their parents life because of promises of large inheritance, then the rug was pulled out from under them at the last minute when they realized there wasn’t nearly as much as they thought. Instead of millions they’re looking at a few hundred k.

[Anonymous]

Anonymous wrote:PP here. Is that weird that my parents have me pay the annual fee for a trust that’s unclear if it’s funded? I have 3+ kids (only sibling with children) and it’s kind of a pain to write this check every year. I’m like putting my own questionable inheritance on layaway

Yes, it’s weird. If you are paying, you have a right to know what is titled to the trust. Stop paying until they tell you.

[Anonymous]

Eventually the asset manager (assuming they have one) will pester them to include you in a meeting.

That doesn’t mean your parent will listen.

Try not to think about it too much.

[Anonymous]

Anonymous wrote:

Anonymous wrote:PP here. Is that weird that my parents have me pay the annual fee for a trust that’s unclear if it’s funded? I have 3+ kids (only sibling with children) and it’s kind of a pain to write this check every year. I’m like putting my own questionable inheritance on layaway

Yes, it’s weird. If you are paying, you have a right to know what is titled to the trust. Stop paying until they tell you.

Stop paying. That sounds like a scam. The trust assets should be generating enough to cover any asset management fees and then some.

[Anonymous]

Anonymous wrote:Yea, I pay $600 annually to the trust administrator. I think there is $0 in it. I think I’ve paid $6,000 since 2014 in this annual fee. It’s weird. I should talk to my dad about whether there will actually ever be money in it.

Yes. He needs to move his home and assets into it or shut it down. Stop wasting money.

Is he divorced?

[Anonymous]

Anonymous wrote:Lol OP. All a trust does is avoid probate. You don’t have to be rich to have one. We will eventually set one up ourselves and trust me we ain’t rich.

What’s probate? Jsut following the will and getting all that in order? A trust does it more quickly?

Or if you’re wealthy it has all those annual gifts and up to $13m per trust of cost basis of growth stuff. Is that the same as general estate stuff?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:PP here. Is that weird that my parents have me pay the annual fee for a trust that’s unclear if it’s funded? I have 3+ kids (only sibling with children) and it’s kind of a pain to write this check every year. I’m like putting my own questionable inheritance on layaway

I am the family coordinator for about the ten trusts in my extended family and a layer, though not a trust and estate lawyer, and I have no idea what you are talking about.

That’s fair. I’m confused myself. Do the extended family members pay an annual fee into their respective trusts that they are beneficiaries of?

Np. I’m a trustee on a trust and I’m also confused. I get a set amount each year to be the administrator and that is paid by the trust, from the trusts bank account. No, the beneficiaries don’t pay.

Also, I’m required to provide an annual accounting to the beneficiaries detailing beginning/ending balances of investments and any expenses.

I truly have no idea what you are paying.

Yep. this is standard. As a beneficiary you have the right to ask for a yearly accounting. They might have funded a minimal amount to have it ready to go. And you should have a copy of the actual trust and actually read it. I’ve never heard of a beneficiary paying yearly administrative expenses.

Stop paying it without getting your questions answered. Who do you make the check to?

PP here writing the annual fee to the trust company. My dad owns a business and set up a series of trusts. He said one day some big deal would fully find it and pay $1MM into the trust, which today sits at $0 according to the annual statement I receive. I receive an invoice from the trustee firm each summer showing I owe $600 for the management fee. So far I’ve paid $6,000. I’m so confused.

Sounds like some small human capital business my spouse bought that he’s sure will 10x in size, value and profit over the next 10 years. Can’t wait!