Reduce distributable income within trusts

A family of four is enjoying a serene moment by a calm river, with lush green hills in the background. The parents are holding hands with their young children, who seem to be playfully wading into the water. The mother, dressed in shorts and a sleeveless top, appears cheerful as she engages with her little ones, while the father, wearing a light-coloured shirt and shorts, stands close, watching the children. The kids, one wearing a t-shirt and the other in a grey onesie, seem curious and excited about the water. The scene is bathed in soft, diffused light, creating a tranquil and joyful atmosphere.
Discover the advantages of an investment bond when used in a trust without the complexity of other forms of investments
Unlike other investments such as shares, managed funds and term deposits, investment bonds do not distribute taxable income or realised gains unless a withdrawal is made within the first 10 years. Having a discretionary or family trust invest in an investment bond can reduce (or eliminate if fully invested) the level of distributable income. Find out more about how Generation Life can help to simplify and manage your distributable income from trusts, in the articles below.
17 July 2020 • 10 mins
A cheerful scene unfolds between two older adults seated closely together, sharing a moment filled with warmth and joy. The man, sporting glasses and a grey beard, wears a light sweater over a collared shirt, while the woman beside him has short, styled hair and is dressed in a light, collared top complemented by a light cardigan. She holds a delicate cup, presumably of tea or coffee, and appears to be engaged in a lively conversation, her expression radiating happiness. The background is softly blurred, featuring hints of greenery, which adds to the relaxed and intimate atmosphere of the setting. Their laughter and closeness suggest a deep connection, highlighting a precious moment of companionship.
managing trusts
Investment bonds for family or discretionary trusts with excess distributable income

Are you looking for a simple solution to help with tax planning and managing income levels.

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22 October 2020 • 8 mins
A couple walks hand in hand across a grassy field, accompanied by a brown dog. They are silhouetted against a backdrop of trees that display autumn colours, creating a serene and picturesque scene. The sun casts a soft light, giving the image a warm, almost dreamlike quality. The couple is dressed in casual clothing, suitable for a leisurely stroll, and the overall atmosphere is peaceful and inviting, suggesting a sense of companionship and the enjoyment of nature. The field extends towards a line of trees in the distance, completing the tranquil outdoor setting.
managing trusts
Effectively manage income distributions to beneficiaries and assessable income levels within a trust

A private, discretionary or family trust can reduce its distributable income if invested.

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