Quote:
Originally Posted by greglepore
Sorta. You gift or leave the money to a trust, and the trustee is required to disburse income periodically (or some fixed amt which you hope is income plus a small amount). The trustee manages the principal.
However, a trust cannot go on "forever". There is the "Rule Against Perpetuities" which is almost impossible to explain here but sets a time limit on a trust-more or less a generation plus. On a tangent it was a key plot element in "Body Heat".
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There are states that allow generation skipping trusts. South Dakota is one. You can hire a professional trustee in South Dakota to get access to their jurisdiction and you don't even need to base the trust in South Dakota.
As an aside, Greg, I think you're about my age. Did you read about Body Heat in one of the chapter notes in your trusts and estates text? If so, we may have had the same textbook. The best thing that came out of my Wills, Trusts & Estates class was getting introduced to Body Heat. If anyone hasn't seen it, I strongly encourage watching it. It is one of the smartest, most clever and sexiest movies I've ever seen.