Who are the beneficiaries of a trust?

Question

What will be an ideal response?

Answer 1

Trusts often provide that any trust income is to be paid to a person or an entity called the income beneficiary. The person or entity to receive the trust corpus on the termination of the trust is called the remainder beneficiary. The income beneficiary and the remainder beneficiary can be the same person or different persons. The designated beneficiary can be any identifiable person, animal charitable organization, or other institution or cause that the settlor chooses. The trust agreement usually specifies how the receipts and expenses of the trust are to be divided between the income beneficiary and the remainder beneficiary.