Does your trust need a protector?

Description

Abstract: Typically, to achieve the greatest tax savings, trusts must be irrevocable. But it can be disconcerting to relinquish control over assets placed in a trust, particularly if one expects that Congress will continue to modify the tax laws. One potential solution is to appoint a “trust protector” to oversee the trustee’s activities and to provide flexibility to adapt the trust to changing laws and circumstances. This article explains the protector’s role and the benefits of having one, along with cautions that should be observed. A sidebar lists specific powers of a trust protector.