Protecting your hard-earned wealth and ensuring its longevity is more than just a financial strategy—it’s about peace of mind. At Foust & Foust, PLLC, we know how important it is to feel secure about your assets. That’s why we’re here to help you explore the benefits of a Tennessee Investment Services Trust (TIST). If you’ve been searching for a way to safeguard your investments while maintaining control, you’re in the right place.
What Is a Tennessee Investment Services Trust (TIST)?
A Tennessee Investment Services Trust, or TIST, is a self-settled asset protection trust unique to Tennessee. It’s designed to offer individuals a way to protect their assets from potential future creditors while keeping their wealth within their control. Unlike traditional trusts, a TIST allows the grantor (that’s you) to also be a beneficiary—a significant benefit that sets it apart from other types of trusts.
This is different from a Traditional Irrevocable Spendthrift Trust, which typically limits the grantor’s control and flexibility while still providing asset protection.
Features of a TIST
- Self-Settled Trust: You can transfer assets into the trust while still benefiting from them.
- Directed Trust Structure: The roles of the grantor, trustee, and investment advisor work together to ensure smooth management.
- Asset Protection: Provides protection against future creditors and lawsuits.
- Investment Flexibility: Allows diverse assets, including real estate, business interests, securities, and more.
- Tax Efficiency: Offers potential tax advantages, depending on your situation.
How a Tennessee Investment Services Trust Works
Setting up a TIST is a strategic process that ensures your assets are protected and properly managed. Here’s a closer look at how it all comes together:
Asset Transfer Process
- Establish the Trust: Draft a trust agreement that complies with Tennessee law.
- Transfer Assets: Move your chosen assets into the trust.
- Tennessee Trustee: Appoint a qualified Tennessee resident or entity as the trustee.
Key Roles
- Grantor: You create the trust and contribute your assets.
- Trustee: This Tennessee-based individual or entity oversees the trust’s administration.
- Investment Advisor: Guides investment decisions to align with your goals.
Who Can Benefit from a TIST?
A TIST is a powerful tool for many individuals and families:
High-Net-Worth Individuals
- Protect significant investment assets from unforeseen claims.
- Maintain control over investment decisions.
- Minimize tax exposure with strategic planning.
Professionals in High-Risk Fields
- Ideal for doctors, lawyers, and other professionals concerned about lawsuits.
Families
- Preserve family wealth for future generations.
- Protect beneficiaries from poor financial decisions or external threats.
- Ensure a seamless transfer of assets.
Business Owners
- Safeguard business assets while continuing to operate your business.
Why Form a TIST in Tennessee?
Tennessee is one of the most trust-friendly states in the nation, making it an excellent choice for establishing a TIST. Here’s why:
- Favorable Laws: Tennessee’s legal framework strongly supports asset protection trusts.
- No State Income Tax: Enjoy potential tax savings.
- Dynasty Trust Provisions: Extend asset protection across multiple generations.
- Flexible Decanting Laws: Adapt your trust as your needs change.
- Strong Financial Oversight: Tennessee’s Department of Financial Institutions ensures robust regulatory support.
How to Create an Effective TIST?
Creating a TIST requires thoughtful planning. Here are some key steps:
- Start Early: Proactively establish the trust before any creditor issues arise.
- Choose a Tennessee Trustee: Ensure your trustee meets all state requirements.
- Consult Professionals: Work with experienced attorneys to maximize protection and compliance.
Why Choose Foust & Foust for TIST Services
At Foust & Foust, PLLC, we’re committed to helping you protect what matters most. Here’s how we can assist:
- Deep Knowledge of Tennessee Trust Law: We’ve helped clients across Tennessee secure their assets effectively.
- Personalized Solutions: Every client’s situation is unique, and we tailor our approach to meet your needs.
- Comprehensive Support: From trust formation to ongoing administration, we’re with you every step of the way.
Take the Next Step – Secure Your Legacy Today
Don’t wait to protect your assets. Contact Foust & Foust, PLLC, for a free consultation. Call us at (865) 203-4041 or fill out our online contact form. Together, we’ll create a plan that ensures your wealth and values are safeguarded for generations to come.