The first benefit of personal injury trust is for future care costs. One thing that you should understand is that as long as you live you will need medical assistance care. You should also know that the cost of care is also increasing at an alarming rate. When you develop complications you will seek local authority assistance with settling your fees. This is where personal injury trust comes in as it will allow you to benefit from the funds held in your trust and also receive local authority funding. The last thing that you would want is to use the compensation funds towards the cost of your care like when the compensation is held in your name. Visit our website for more information about our personal injury trust services. The second benefit is planning for inheritance tax. You need to understand is that the cost of houses is becoming expensive and this also means that inheritance tax also increases. The only way to make sure that the compensation is not included in your estates by placing it under a personal injury trust. This is important as it will help in reducing the inheritance tax. Unlike when you put the compensation on your name and it will be included in your estates and turn result into higher inheritance tax amount. Besides, you should also place your compensation on personal injury trust for means-tested benefits. This will especially benefit the people who are trying to place a claim for any type of means-tested benefits. What happens when the compensation is held by you is that you stand a chance of losing your entitlement benefits. The good news is that when you place your compensation under personal injury trust, it will not apply in the calculation of your benefits. As a result, you will have the chance to use the trust fund for other important things. Visit our website to read more about our trusted personal injury trust services. Protection on divorce is another benefit of holding your compensation in a personal injury trust. You need to understand that during divorce there is always the division of assets. This means that you will have to bring all your financial resources together. The thing is that most of the couples would not want their compensation to be included in their assets to be divided. If you don’t want your compensation to be included in divorce then you should invest in personal injury trust. The last benefit of using personal injury trust is that it will help in safeguarding your compensation for the future. One thing that you cannot avoid is pressure from family members or friends to use the funds to benefit them. It is upon the trustees of the personal injury trust to protect your compensation. To understand more details about this topic, click here: https://en.wikipedia.org/wiki/Discretionary_trust.
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