A Vulnerable Persons Trust is a mechanism that is written in your Will to protect a gift or share of the estate for a beneficiary considered vulnerable or disabled. It is used for a wide range of circumstances.
Without the use of this Trust, leaving a sum of your estate to a vulnerable or disabled beneficiary could cause additional hardship for your beneficiary.
It may be that the beneficiary is disabled in such a way, that they would find it difficult to manage funds for themselves. Further, the beneficiary’s finances could be subject to something called means testing (where someone’s personal finances are taken into consideration to pay for their own care).
A vulnerable beneficiary may be someone who struggles severely with money management or is known to direct their finances to products or substances that may already be harmful to them.
With the use of this Trust, you appoint Trustees to manage the share or gift in a sensible and constructive manner for the beneficiary. As the Trustees would be in control of how the beneficiary’s funds are used, it can also protect the share or gift left to the beneficiary from potential care costs.
Speak to us in confidence to learn more about how a Vulnerable Persons Trust can safeguard your beneficiary’s financial future.