Backstory:
- MIL has dementia. My husband is her conservator/guardian of finances (and a BIL is guardian of person/medical). She is 95. Her will cannot be changed given her guardian status. It states that a portion of the estate be put into a trust for one of her children who has mental health issues and is on disability. My husband and his sister are named as trustees.
- BIL who will be the beneficiary has lead a hard life (mental illness, periods of homelessness, drug abuse) but is currently doing ok, on his meds, living in a good, stable, supportive group home. But his health is far from great given the hard life he's lead. The testamentary trust allows funds to be disbursed to his benefit without effecting his SS Disability income.
Question:
- On MIL's death this trust is created and funded as part of probate of her estate. What happens if BIL (beneficiary) dies before the funds are depleted? Since it is not owned by BIL, does it go to the trustees (my husband and his sister)? Does it go back to MIL's estate to be redistributed?
- MIL has dementia. My husband is her conservator/guardian of finances (and a BIL is guardian of person/medical). She is 95. Her will cannot be changed given her guardian status. It states that a portion of the estate be put into a trust for one of her children who has mental health issues and is on disability. My husband and his sister are named as trustees.
- BIL who will be the beneficiary has lead a hard life (mental illness, periods of homelessness, drug abuse) but is currently doing ok, on his meds, living in a good, stable, supportive group home. But his health is far from great given the hard life he's lead. The testamentary trust allows funds to be disbursed to his benefit without effecting his SS Disability income.
Question:
- On MIL's death this trust is created and funded as part of probate of her estate. What happens if BIL (beneficiary) dies before the funds are depleted? Since it is not owned by BIL, does it go to the trustees (my husband and his sister)? Does it go back to MIL's estate to be redistributed?