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Category: Law
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can people on benefitshave discretionary trust with lawyer

Customer Question

can people on benefitshave discretionary trust with lawyers
Submitted: 3 years ago.
Category: Law
Expert:  Stuart J replied 3 years ago.
Thank you for your question here on Just answer. It is my pleasure to try and assist you with this today. Please bear with me if I need to ask for any further information from you in order for me to be able to advise you fully. My name is Law Denning and I am a practising solicitor. I have been an expert on this website in UK law since 2008. During that time, as you appreciate, I have answered thousands of questions from satisfied users on a variety of subjects.
Because we are all in practice with clients and court and other users, I might not always respond in minutes, particularly evenings and weekends. Please bear with me in that case. I will be online and off-line all day most weekdays and weekends.

Can you explain your situation a bit more please?
Customer: replied 3 years ago.

I am thinking of leaving a male friend monies in a region of £100,000 in a discretionary trust managed by lawyers when I die, he is 69 and he claims a lot of pension credits and housing benefits, is it possible to the lawer after my death to pass £16,000 now and again to him without affecting his pension and benefits until the trust fund is extinguished and how much do you anticipate the lawyers fees to be if it is kept in a simple high interest account.

Expert:  Stuart J replied 3 years ago.

He would have to declare the trust and the income for benefits
purposes and it is likely to reduce his benefits by the same amount.

The solicitors will charge about £200 per hour plus VAT for
administering the trust so it depends really, how many transactions there are
going through it as to how much they charge

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Expert:  Nicola-mod replied 3 years ago.

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