Should you keep your trust a secret?

Description

Abstract: Worried that the prospect of a large inheritance might harm their children’s work ethic, some people establish “quiet trusts,” also known as “silent trusts.” In other words, they leave significant sums in trust for their children; they just don’t tell them about it. But this article lists several disadvantages of this approach. It argues that an “incentive trust,” which is known to the beneficiaries and which specifies conditions they must meet to be eligible for distributions, can do a better job of encouraging a sense of responsibility.