QTIP Trust

A QTIP (Qualified Terminable Interest Property) trust is a legal arrangement that allows a spouse to receive income from an estate during their lifetime, while controlling how the remaining assets are distributed after their death. It provides for the surviving spouse’s needs without fully passing ownership, ensuring assets eventually go to designated beneficiaries, such as children. This setup can also provide estate tax benefits and help implement specific inheritance plans. Essentially, it offers both income support for the spouse and a plan for the future transfer of the estate.