Qualified Terminable Interest Property (QTIP) Trust
 |
Definition of 'Qualified Terminable Interest Property (QTIP) Trust'A type of trust that enables the grantor to provide for a surviving spouse and also to maintain control of how the trust's assets are distributed once the surviving spouse has also died. Income, and sometimes principal, generated from the trust is given to the surviving spouse to ensure that he or she is taken care of for the rest of his or her life. |
 |
Investopedia explains 'Qualified Terminable Interest Property (QTIP) Trust'This type of trust is commonly used by individuals who have children from another marriage. QTIPs enable the grantor to look after his or her current spouse and ensure that the assets from the trust are then passed on to beneficiaries of his or her choice, such as the children from the grantor's first marriage. |
Related Definitions
Articles Of Interest
-
Gifting Your Retirement Assets To Charity
There are several things to consider when it comes to this type of charitable giving. Make sure you're well informed. -
Establishing A Revocable Living Trust
This arrangement allows you to have more control over your estate - both before and after your death. -
Getting Started On Your Estate Plan
With some preparation, you can save your heirs from paying a hefty estate tax. Here are some tips. -
Saving Money With A Private Annuity Trust
Learn about a strategy that could help you reduce taxes, diversify your portfolio and generate income. -
Pick The Perfect Trust
Trusts are an estate plan's anchor, but the terminology can be confusing. We cut through the clutter. -
How do I list the beneficiaries of my life insurance policies if I have a trust?
Because most states protect life insurance policies from creditors, most buyer questions come from the confusion created with ownership and beneficiary designations because of tax treatment. ... -
3 Financial Tasks We Think Are Harder Than They Really Are
Use these three tips to help put your financial situation into perspective. It turns out, organizing your finances isn't nearly as hard as you thought. -
Certifications For Estate Planning
These certifications can lead to a promising career, but is estate planning for you? -
Why You Shouldn't Die In 2013
Increases in estate tax rates and possible fiscal cliff implications will make things more difficult when it comes to arrangements for your death. -
Tax-Efficient Wealth Transfer
Taxpayers with large taxable estates were required to take steps to reduce them before 2011.
Free Annual Reports