Do You Need a Testamentary Trust If You Are Not Wealthy?

Many people assume that trusts are only useful for wealthy families, but testamentary trusts can benefit families at many different income levels. Even relatively modest estates may include life insurance proceeds, retirement accounts, a family home, or savings that parents want managed carefully for their children. A trust can help ensure those assets are protected and used responsibly.

For parents of minor children, a testamentary trust can provide structure and oversight regardless of the size of the inheritance. Instead of a child receiving assets outright at a young age, a trustee can manage the funds for education, healthcare, and other important needs. This can help avoid financial mismanagement and provide stability during difficult circumstances.

Testamentary trusts are also often more accessible and affordable than many people realize. In most cases, they are incorporated directly into a will as part of a broader estate plan. Families do not need to be extraordinarily wealthy to benefit from thoughtful planning that protects children and preserves assets for the future.



Johnston Burkhardt is an attorney at Sternberg, Naccari & White, LLC with experience in trusts and estate planning for families. He regularly assists families in structuring trusts to protect long-term financial security and protection. To learn more about trusts and estate planning or to schedule a consultation, contact Johnston at (504) 324-2141 or johnston@snw.law.