The Flexibility of Revocable Living Dynasty Trusts

A revocable living dynasty trust (RLDT) offers a way to pass assets across generations while retaining control. This unique trust structure provides flexibility for legacy planning.

Standard irrevocable trusts lock assets in permanently once created. But an RLDT allows the grantor to modify terms, add assets, or dissolve the trust at any time.

This adaptability helps account for life changes. Assets can be tapped if needed or beneficiaries adjusted to manage family dynamics.

An RLDT also avoids estate taxes when passed down. Assets transfer directly to heirs after the grantor’s death without probate.

The trust becomes irrevocable upon the grantor’s passing. A designated trustee then manages distributions according to the trust’s rules.

Properly structured, an RLDT can exist indefinitely across generations. Grantors gain peace of mind knowing their legacy is protected.

While more complex than basic trusts, RLDTs offer control over inherited wealth. With flexibility and tax advantages, they facilitate passing assets down through a family lineage.

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