If you use a trust as part of your estate plans, it is important to consider unexpected life changes. Since they’re unexpected, of course, you can’t perfectly predict them, but you can set the trust up in a flexible fashion so that it can apply as needed.
This may mean giving the trustee a bit more power to make real-time decisions. This is why it’s so important to pick a trustee that you know will put your needs and desires first.
An example: Paying for tuition
One of the main reasons that people use trusts is simply to pay for tuition for an heir. You could pick your grandchild as the beneficiary and specify that the money in the trust has to be used for educational costs.
This is fine if your heir does go to college, but what if they decide to start a business? Or what if they get sick and have to drop out? What if a family member gets sick, and your heir leaves college to care for them?
These are clear cases where you would likely still want your heir to get the money that is in the trust. However, if it says that only tuition costs can be covered, they could be denied. A trust with the flexibility to pay out under these circumstances may be more in line with what you would actually want to happen.
Creating the right plan
Life is unpredictable. It always will be. You can’t change that, but you can look into the legal options you have to create the right plan for your heirs. There are always options to help you accomplish your goals.