Trust Terms

1
Trust Terms

• Grantor -- sets up trust
• Executor -- person that steps in your shows when
  you die
• Trustee -- manager of money for another
• Agent -- provides services such as investment
  management
• Custodian -- holds the assets
• Guardian -- person that makes decisions for
  minors or incapacitated person
• Remainderman -- inherits the trust assets
  eventually (e.g., children)
• Beneficiary -- could be the grantor or others
  that trust is meant to benefit

2
Trust Terms

• Revocable -- can change
• Irrevocable -- cannot change with exception of
  court
• Trust instrument -- document that establishes a
  trust
• Testamentary trust -- under ones will (pulling
  strings from the grave -- can direct how money
  is spent on remainderman
• Fiduciary -- person in position of responsibility
• Crummy trust -- put gifts of up to 10,000 per
  person in trust and avoids estate taxes and gift
  taxes
• Incentive trusts/Core value trusts -- money goes
  to remainderman only if certain conditions of
  grantor are met
• 2503(c) trusts -- minors trust under age 21
  (terminates at 21)