Book Review: Family Trusts
The other day my dad walked into my office. On my desk was a book entitled Estate & Trust Administration for Dummies. (Yes, this really exists!) When he saw this, he laughed and commented that this book didn’t inspire much confidence. I explained to him that I was on a quest to find something that would help people better understand trusts. Not like an attorney, but as people who form trusts, who are beneficiaries of trusts, or who are asked to serve in a role within a trust. An enjoyable read that would help them understand the various roles and provide some guidance on how to do them well.
A Guide for Beneficiaries, Trustees, Trust Protectors, and Trust Creators
After reading a dozen or so books, I found Family Trusts: A Guide for Beneficiaries, Trustees, Trust Protectors, and Trust Creators by Hartley Goldstone, James E. Hughes Jr., and Keith Whitaker to be a very thoughtful, practical and surprisingly enjoyable source for anyone involved with trusts.
Family Trusts is a hands-on primer that was written to foster positive relationships and establish trust structure for those who seek to develop independent and healthy beneficiaries. What makes this book a helpful read is the emphasis on the “trustscape,” which the authors explain as the landscape of all the participants in a trust and their ideal interaction with each other. By asking a series of questions, introducing numerous exercises, and outlining the various roles within the trustscape, Goldstone, Hughes, and Whitaker stimulate readers to be more thoughtful, purposeful and confident in this arena.
Gaining Clarity & Vision
The authors set the table by asking readers to understand the purpose of any trust. While many trusts are intended to be gifts, recent research unfortunately shows that about 80% of beneficiaries see them as burdens. Family Trusts starts by asking readers to consider two questions: “What is the single most important reason for the existence of my trust?” and “Will the existence of this trust, and the relationships created, enhance the lives of the beneficiaries?” These questions, as well as others, are intended to help each person in the trustscape gain clarity on the “spirit of the gift” and form a common guiding vision.
The Roles within the Trustscape
The book then delves into the various roles of the Trust Creator, Trustee, Distribution Committee, Trust Protector, and Beneficiary and how they interrelate. With each short chapter, they help to practically explain key decisions and responsibilities for each role. They even have a chapter on how to be a great beneficiary. It is clear they aren’t attempting to give legal advice with this book, instead they are trying to help readers gain enough understanding to stimulate creativity and excellence in each of the trustscape roles.
Practical Tips
Finally, Goldstone, Hughes, and Whitaker share a few practical tips, including:
How to write a pre-amble so that the “spirit of the gift” is not forgotten
How to conduct effective meetings between the trustees and the beneficiaries
How to deal with beneficiary addictions as a trustee
Whether you are forming a trust, being asked to play a role as a trustee or trust protector, or the beneficiary of a trust, Family Trusts can help you better understand the various roles in the trustscape. Most importantly, the book provides guidance on how to do your role well, while not losing the “spirit of the gift” that was envisioned by the Trust Creator.
As always, if you’d like to discuss the book or ask us a question, please don’t hesitate to contact us!
