Can you withdraw monies from a trust fund before you have reached the designated age specified by the deceased? 48 Answers as of May 22, 2013

In the case of financial hardship, can you withdraw monies from a trust fund before you have reached the designated age specified by the deceased?

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Sebby Law Office
Sebby Law Office | Jayne Sebby
Probably yes, if you can prove the need is crucial, that the resulting hardship will cause significant harm, and that there are no other sources to provide for funding. The trustee will make those determinations. If you disagree with his or her conclusion, you can petition the appropriate court to release the funds.
Answer Applies to: Nebraska
Replied: 8/27/2012
Law Offices of Gerald A. Bagazinski
Law Offices of Gerald A. Bagazinski | Gerald A. Bagazinski
The ability to withdraw money from a trust depends on the terms of the trust and whether the trustee is willing to authorize the withdraw. If the trustee is uncooperative, you can ask the probate court to supervise the trust and review whether the trustees decision to not pay the funds on a discretionary basis.
Answer Applies to: Michigan
Replied: 8/23/2012
Indianapolis Bankruptcy Law Office of Eric C. Lewis
Indianapolis Bankruptcy Law Office of Eric C. Lewis | Eric Lewis
Depends on the language of the trust and the ability to invade the trust for maintenance and support.
Answer Applies to: Indiana
Replied: 8/23/2012
Charles M. Schiff, Attorney at Law
Charles M. Schiff, Attorney at Law | Charles M. Schiff
In the body of the Trust Document there may be wording allowing a partial distribution to you for specific purposes. Otherwise, it is presumed that the creator of the Trust designated a specific age because he did not want the corpus of the Trust distributed until the beneficiary reached the designated age.
Answer Applies to: Minnesota
Replied: 8/23/2012
Law Offices of Charles R. Perry
Law Offices of Charles R. Perry | Charles R. Perry
If the trust does not provide for a distribution for financial hardship, or the trustee refuses to exercise any discretion he or she may have for this type of distribution, then the only way to obtain such a distribution is through court order. The beneficiary does not have an automatic right of distribution simply because of some sort of financial hardship.
Answer Applies to: California
Replied: 8/22/2012
    Jay W. Moreland, P.A.
    Jay W. Moreland, P.A. | Jay W. Moreland
    Generally when the trust fund is set up there are rules that apply to it. If the rules allow early withdrawal based on financial hardship, you might be able to withdraw funds early. Otherwise you probably won't be able to do so before the specified age.
    Answer Applies to: Florida
    Replied: 8/22/2012
    Brian M. Mekdsy Legal Services
    Brian M. Mekdsy Legal Services | Brian M. Mekdsy
    How and when funds can be distributed to a trust beneficiary should be outlined in the trust terms. Some trusts grant the trustee wide discretion in making distributions to the named beneficiaries, especially distributions related to the health, maintenance, education and support of the beneficiary. Other trusts have very strict 'spendthrift' provisions limiting a trustee's discretionary powers; but even these allow for the above distributions (health, maintenance, education and support). Review the terms of the trust to find out how distributions should be handled by the trustee(s). Assuming you are a qualified beneficiary, you generally have the right to receive certain information from the trustee. Massachusetts trusts are now governed by the Uniform Trust Code, which spells out the rights of beneficiaries with regard to obtaining information about the trust. Trustees are also under a duty to provide certain information to beneficiaries. But there are exceptions to these rights and duties as well. You might be able to contact the trustee and make a hardship case for distributing funds to you under the circumstances. Hope this is helpful. Good luck!
    Answer Applies to: Massachusetts
    Replied: 8/22/2012
    The Law Offices of Laurie E. Ohall, P.A.
    The Law Offices of Laurie E. Ohall, P.A. | Laurie E. Ohall
    It depends on what the trust says. If the trust gives the trustee discretion to make expenditures for the beneficiary, then it is up to the trustee. If the trust is silent on that issue, then you need to look to the Florida trust code.
    Answer Applies to: Florida
    Replied: 8/22/2012
    Olson Law Firm | Edward M Olson
    The trustee has all the powers set forth in the trust document. Beneficiaries can request withdrawal of funds. However, most trustees have discretion (that is, they have authority to make decisions on their own) and trustees are limited to taking the actions allowed under the trust document. Contact an attorney for more specific instructions and a review of the trust documents.
    Answer Applies to: Michigan
    Replied: 8/22/2012
    Gordon F. Gault PC | Gordon F Gault
    There may be special language in the trust providing for special needs. You need an attorney to plead you case with the trustee.
    Answer Applies to: Illinois
    Replied: 8/22/2012
    Martinson & Beason, PC
    Martinson & Beason, PC | Douglas C Martinson II
    It would depend on the language of the trust and the amount of discretion or control given to the Trustee. However, in most cases, it is permissible for the Trustee to give money to the beneficiary if it is needed for their health, education and maintenance.
    Answer Applies to: Alabama
    Replied: 8/22/2012
    Lisa L. Hogreve, LC | Lisa L. Hogreve
    It depends on the terms of the trust. Perhaps the trust empowers the trustee, at his or her discretion, to advance funds to beneficiaries or to make loans.
    Answer Applies to: Florida
    Replied: 8/22/2012
    Leonard A. Kaanta, P.C. | Leonard A. Kaanta
    Not unless the the trust, allows the trustee do so.
    Answer Applies to: Michigan
    Replied: 8/22/2012
    Richard J. Keyes Attorney at Law | Richard J. Keyes
    Have an attorney read the trust instrument for such hardships. I have oftentimes seen such language in a trust instrument. Otherwise, the early distribution can be done but there are steps to take so that it is done properly and there are no future legal consequences.
    Answer Applies to: Missouri
    Replied: 8/22/2012
    The Jordan Law Firm
    The Jordan Law Firm | John Paul Jordan
    It all relies upon how the test was set up. The trust is its own entity and owns the funds at this point. If there are provisions that the Trustee can take from the trust early then attempt to get funds pursuant to those provisions, if not then you'll have to wait.
    Answer Applies to: Oklahoma
    Replied: 8/22/2012
    GOLD & ASSOCIATES, P.C.
    GOLD & ASSOCIATES, P.C. | KENNETH GOLD
    The trustee is in charge of distributing the funds. Many trusts, in addition to an age for distribution also allow the trustee discretion to make distributions in case of hardship etc. You really need to look at the trust language. It would also be possible absent such language for the trustee to petition the court for permission to make such a distribution.
    Answer Applies to: Michigan
    Replied: 8/22/2012
    Law Offices of Frances Headley | Frances Headley
    That depends entirely on the terms of the trust. You should consult an estate planning/probate attorney to review the documents and advise you.
    Answer Applies to: California
    Replied: 8/22/2012
    Law Offices of Robert H. Glorch | Jeffrey R. Gottlieb
    This is impossible to answer in the abstract. The answer is going to depend on the specific terms of the trust.
    Answer Applies to: Illinois
    Replied: 8/22/2012
    Rags Beals Seigler Patterson & Gray
    Rags Beals Seigler Patterson & Gray | Ronald D. Reemsnyder
    The trust document and the trustee are key to answering this question. Without seeing the language any answer is a guess.
    Answer Applies to: Georgia
    Replied: 8/22/2012
    O'Keefe Legal Services, L.L.C.
    O'Keefe Legal Services, L.L.C. | Sean P. O'Keefe
    The answer in Maryland likely depends on what the trust document states (the terms of the trust), or whether a court would grant an order allowing the distribution.
    Answer Applies to: Maryland
    Replied: 8/22/2012
    Donaldson Stewart, PC
    Donaldson Stewart, PC | Monica H. Donaldson Stewart
    It depends on whether the trust provides for situations like that, or whether the trust gives the Trustee discretion to take that action.
    Answer Applies to: Arizona
    Replied: 8/22/2012
    Edward L. Armstrong, P.C. | Edward L. Armstrong
    It all depends on what provisions in the trust instrument provide for. Many times the trust document will include language which allows the trustee (not the beneficiary) to use his or her discretion to make payments from income or principal for certain defined contingencies such as health, education, support, medical emergencies and the like or to provide against certain emergencies which may arise brought about accident, ill-health, affliction, misfortune, etc. But the decision is the trustee's not the beneficiary's.
    Answer Applies to: Missouri
    Replied: 8/22/2012
    Mike Yeksavich | Mike Yeksavich
    The basic answer is NO. However, there might be circumstances where a judge would allow some withdrawal but do not be on it.
    Answer Applies to: Oklahoma
    Replied: 8/22/2012
    Frederick & Frederick PLC | James P Frederick
    It depends on the trust terms. Most of the time, the answer would be no. Often, then trustee has discretion to deal with these issues, however, so I would not give up without at least reviewing the trust. There are very limited cases where you can go to court and ask that funds be released, but the court is usually extremely reluctant to do this, absent some fairly compelling evidence that the grantor would have intended this, (when the documents expressly provide otherwise).
    Answer Applies to: Michigan
    Replied: 8/22/2012
    Law Office Of Victor Waid
    Law Office Of Victor Waid | Victor Waid
    Not without a petition to court for an order allowing you to do so.
    Answer Applies to: California
    Replied: 8/22/2012
    Goldsmith & Guymon
    Goldsmith & Guymon | Dara Goldsmith
    It depends upon what the trust document says. If unsure, I suggest meeting with an attorney who can review the trust and advise you regarding the same.
    Answer Applies to: Nevada
    Replied: 8/22/2012
    WARM SPRINGS LAW GROUP | Elliott D. Yug
    Ask the successor trustee.
    Answer Applies to: Nevada
    Replied: 8/22/2012
    Paul Nidich, Attorney at law
    Paul Nidich, Attorney at law | Paul Nidich
    Only by approval of all beneficiaries under certain circumstances or by approval of the Probate Court. You should hire an attorney to help with this, if you really need the money. This is a tricky area, and you don't want to be charged with a crime.
    Answer Applies to: Ohio
    Replied: 8/22/2012
    Bullivant Houser Bailey PC
    Bullivant Houser Bailey PC | Darin Christensen
    It depends on the terms of the trust.
    Answer Applies to: Oregon
    Replied: 8/22/2012
    Stephens Gourley & Bywater | David A. Stephens
    It depends on what discretion the trustee has. If the trustee has no discretion or refused to exercise it you would have to go to court.
    Answer Applies to: Nevada
    Replied: 8/22/2012
    Danville Law Group | Scott Jordan
    No.
    Answer Applies to: California
    Replied: 5/22/2013
    Roman Aminov
    Roman Aminov | Roman Aminov
    You would need to know the terms of the trust. Without that, we can not answer that.
    Answer Applies to: New York
    Replied: 8/22/2012
    The Law Office of Eric J Smith
    The Law Office of Eric J Smith | Eric Smith
    The trustee may have the power to expend funds for hardship, but it depends on the terms of the trust.
    Answer Applies to: Texas
    Replied: 8/22/2012
    Law Offices of Michael N. Stafford | Michael N. Stafford
    Under special circumstances money may be redrawn from a trust before reaching the designated age. You may have to consult with an attorney to review the trust provisions and to determine your rights.
    Answer Applies to: California
    Replied: 8/22/2012
    Carmen B. Marquez, PC | Carmen B. Marquez
    That will depend on what the Trust says. Sometimes you are allowed to borrow from your trust but on very limited cases. The Trustee of your Trust should be able to tell you if they are allowed to give you an early withdrawal. Many trust allow a trustee to give a beneficiary money for their health, education, maintenance and support. However, the purpose of the trust is not to pay your debts.
    Answer Applies to: California
    Replied: 8/22/2012
    McCleary & Associates, PC
    McCleary & Associates, PC | David M. McCleary
    You would need to read the trust.
    Answer Applies to: Michigan
    Replied: 8/22/2012
    THE BROOME LAW FIRM, LLC
    THE BROOME LAW FIRM, LLC | Barry D. Broome
    The trust document states when withdrawals can be made and the situation in which money can be withdrawn. If your situation does not fall within the trust parameters then no withdrawals can be made.
    Answer Applies to: Georgia
    Replied: 8/22/2012
    Gates' Law, PLLC | Thomas E. Gates
    No.
    Answer Applies to: Washington
    Replied: 5/22/2013
    Whiteford, Taylor, & Preston | Edwin Fee
    The trustee might have the discretion to make distributions prior to the specified age, but that will depend on what the trust document says.
    Answer Applies to: Maryland
    Replied: 8/22/2012
    Musilli Brennan Associates PLLC
    Musilli Brennan Associates PLLC | John F Brennan
    I would have to see the provisions of the trust.
    Answer Applies to: Michigan
    Replied: 8/22/2012
    Jeffrey Burr, LTD | A. Collins Hunsaker
    The answer to your question is dependent upon the provisions of the trust agreement. Most often, attorneys will draft the trust agreement to allow for the trustee of the trust to make discretionary distributions to a beneficiary for health, education, maintenance, or support prior to the age of distribution. Therefore, the answer to your question is two-part -(1) if the trust agreement allows for it and (2) if the trustee of the trust decides to exercise his or her discretion in making a distribution.
    Answer Applies to: Nevada
    Replied: 8/22/2012
    Atlas and Hudon, LLP | Douglas Mackubin Thomas
    In Connecticut, the Probate Court has jurisdiction over trusts. You would have to apply to the court for authorization to obtain a distribution. This sounds like a good issue to consult with an attorney familiar with probate matters.
    Answer Applies to: Connecticut
    Replied: 8/22/2012
    The Schreiber Law Firm
    The Schreiber Law Firm | Jeffrey D. Schreiber
    The trustee is obligated to comply with the terms of the trust. So whether you can withdraw funds is governed by what the trust says, so you will have to refer to the trust to see if there are reasons you are allowed to withdraw prior to a given age.
    Answer Applies to: California
    Replied: 8/22/2012
    Law Offices of Lee and Baghoomian, P.C.
    Law Offices of Lee and Baghoomian, P.C. | Joseph Lee
    It really depends on the circumstances and on the trust document. You should consult an attorney to see if this is possible but this question is impossible to answer via email.
    Answer Applies to: California
    Replied: 8/22/2012
    Benjamin D Gordon, Attorney at Law
    Benjamin D Gordon, Attorney at Law | Benjamin D Gordon
    Not unless the creator of the trust provided in the trust agreement that you would be allowed to. The exact terms of when and how a beneficiary is entitled to receive distributions from a trust are limited to those established in the trust agreement.
    Answer Applies to: Utah
    Replied: 8/22/2012
    Minor, Bandonis and Haggerty, P.C.
    Minor, Bandonis and Haggerty, P.C. | Brian Haggerty
    Some trusts will allow this; you need to read the particular language of the trust concerning the gift.
    Answer Applies to: Oregon
    Replied: 8/22/2012
    Scott Goldstein | Scott Goldstein
    That would depend on the trust documents. If the documents do not contain a hardship clause allowing withdrawal, probably not.
    Answer Applies to: New Jersey
    Replied: 8/22/2012
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