adult trust account

sheep92

Where can I save Will Trust Funds for a fit adult aged 25?

xylophone

What exactly are the terms of the will trust?

What type of trust does it create?

http://www.hmrc.gov.uk/trusts/types/

Who is the beneficiary/beneficiaries?

sheep92

It is a discretionary will trust made by my late husband. I am the sole executor
and the sole beneficiary is my son. He is single and rents a property at present and doesn't have any children. Thank you.

Mattygroves2

Do you actually want to continue with the Trust ? If not just use your discretion and give him the money outright.

If you do keep the Trust then you'll need to do Trust tax returns each year and pay tax at the Trust rate. You'll also be limited as to the bank accounts you can use and if there is a substantial sum involved then you should be thinking about investments rather than cash as the return on cash is so poor.

sheep92

Thank you. I take note of your information re: Trust tax returns. Sounds as though the options for Trust savings are very limited at present and as I have only limited expertise re: investments your advice to give him the money outright may be the better option. He takes my advice on money and is keen to save so I may be able to 'manage' the money through the back door so to speak and take advantage of his ISA allowance and term bonds. This may be less of a gamble for me than investing. Hope I've got it right.
Thank you very much - for the lay person having the assistance of experts such
as yourself via this forum is a brilliant idea.

xylophone

http://www.hmrc.gov.uk/trusts/types/discretionary-accum.htm

See the above concerning trusts and taxation - you might well need the advice of a solicitor/accountant.

sheep92

To do the very best for the Trust it sounds like a sensible thing to do. I shall
take your advice, gather all information and act accordingly. Some things are best left to professionals. Thank you for your level headed approach it helps keep things in perspective.