Back Door SLATs – Issues When the Grantor Becomes a Beneficiary or Appointee
Spousal Lifetime Access Trusts (“SLATs”) are ubiquitous in estate planning. As clients plan to use exmeption before it is reduced by half in 2026 the issue of access to SLAT assets is key. Those with sufficient wealth may avoid any form of access. But for most clients some type of access is essential to assure that their financial position remains secure in future years. Thus, SLATs are a balancing act. Sufficient access should be provided (and that is not a simple determination) but each additional means of access creates some additional, though unmeasurable risk of estate inclusion and reach by creditors. This webinar will explore this key SLAT and estate planning challenge.