Many folks assume that trust funds are only for the rich, but in reality, people with all kinds of economic circumstances can benefit from them. A trust fund is a special legal arrangement that allows a benefactor to arrange for certain assets to go to someone else.
There are various types of trust funds that can serve as useful estate-planning tools. You might consider a revocable or irrevocable trust, a credit shelter trust, a generation-skipping trust, or a qualified personal-residence trust. Let’s explore these options to see which might be best for you.