FAQ: What Is a Sprinkling or Spray Trust?

  • Estate Planning
faq what is a sprinkling or spray trust | estate and probate legal group

We often hear of a family setting up a trust to distribute property or money. A trust is an arrangement where the creator places their assets in the care of a trustee. There are many different styles of trust; one is called a Sprinkling or Spray Trust.

What is a Sprinkling or Spray Trust?

This type of trust allows the trustee a wide range of discretion in determining trust distribution. The trustee releases the assets or money in smaller distributions – or sprinkles the funds over time. A sprinkling or spray trust gives the trustee complete discretion in deciding trust distributions.

The creator must hold great faith in the trustee with this broad range of discretion. But with this trust comes responsibility.

Responsibilities of a Trustee

As with any type of trust, the trustee is held to a strong set of responsibilities. Some duties a trustee has when working with a sprinkling or spray trust are:

  • Keep track of all assets within the trust
  • Ensure money, property and assets are safe
  • Use sound judgment when managing the distributions
  • Keep trust property separate from their own
  • Not putting their own interest ahead of the beneficiaries

Being a trustee is not an easy job. And it’s a decision the creator must make carefully.

Is a Sprinkling Trust Right for You?

Having a trust as part of your estate plan allows you to dictate specific terms and conditions. Trusts are used to avoid probate courts and also have special tax breaks associated with them. And an estate planning attorney will help you establish the right trust for your unique situation.

Learn More About Different Types of Trusts

Do You Need to Talk to An Oak Brook Estate Planning Attorney?

Setting up a sprinkling or spray trust may be best for you and your loved ones. Talk to an experienced estate planning attorney to prepare for your future and the future of your beneficiaries. Contact us at the Estate and Probate Legal Group today at 630-864-5835.

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