Trust Planning to Protect Family Wealth Across Generations

You have worked hard to build something worth protecting. Whether it is a family home in Sandy Springs or Buckhead, a business in Midtown, or investments you have grown over decades, the question is not just how to build wealth. The real question is how to keep it in your family across generations. At Slowik Estate Planning, located in Atlanta, Georgia, we help families use trust planning to protect what they have built, reduce taxes, and pass on a lasting legacy. This page explains how trusts work under Georgia and federal law, and why the right plan makes all the difference.

Table of Contents

• Why Trust Planning Matters for Atlanta Families in 2026
• Types of Trusts That Protect Family Wealth Across Generations
• Understanding the Tax Rules That Apply to Your Trust
• How Georgia Law Governs Trust Administration and Beneficiary Rights
• Building a Complete Estate Plan That Goes Beyond the Basics
• FAQs About Trust Planning to Protect Family Wealth in Atlanta, Georgia

Why Trust Planning Matters for Atlanta Families in 2026

Most people think estate planning is just about writing a will. But a will alone can leave your family exposed to probate, creditors, and unnecessary taxes. A trust gives you far more control over how your assets are managed and distributed, both during your lifetime and after you are gone.

Georgia has no inheritance tax, which is great news for Atlanta families. Georgia does not have an estate tax, so when passing assets on, your heirs won’t owe Georgia estate taxes. But that does not mean your estate is completely off the hook. Federal estate taxes can still take a significant bite out of what you leave behind.

As of January 1, 2026, the federal gift and estate tax exclusion amount has increased to $15,000,000 per person, which is a combined $30,000,000 for a married couple. For 2026, the federal gift tax annual exclusion amount remains at $19,000, which is a combined $38,000 for a married couple. That means you can give up to $19,000 per person per year without touching your lifetime exemption at all. These numbers create real planning opportunities right now.

The highest federal estate tax, gift tax, and generation-skipping transfer (GST) tax rate remains at 40% for 2026. That rate is steep. A well-designed trust can help shield your estate from that 40% hit. Without a plan, a large portion of what you have built could go to the IRS instead of your children or grandchildren.

Georgia’s trust laws, found in O.C.G.A. Title 53, Chapter 12, give families powerful tools to structure wealth transfers in a way that is both legally sound and personally meaningful. Working with an estate planning attorney in Atlanta is the best way to make sure those tools are working for you. Contact Slowik Estate Planning today to start building a trust plan that fits your family’s goals.

Types of Trusts That Protect Family Wealth Across Generations

Not all trusts are created equal. The right type of trust depends on your goals, your family situation, and the size of your estate. Here is a look at the most common trust structures used in Georgia for multi-generational wealth protection.

A revocable living trust is one of the most popular starting points. You keep full control of the assets during your lifetime, and the trust avoids probate when you pass away. Probate in Georgia can be time-consuming and costly, so skipping it is a real benefit. However, a revocable trust does not protect assets from creditors or reduce estate taxes, because you still own those assets.

An irrevocable trust is different. Once you transfer assets into it, those assets are generally no longer part of your taxable estate. In practice, estate-tax planning means making lifetime gifts to irrevocable trusts that are designed to transfer assets to your loved ones as tax efficiently as possible. Georgia law under O.C.G.A. § 53-12-61 does allow for modification or termination of an irrevocable trust under certain conditions, which gives families some flexibility if circumstances change.

A dynasty trust is designed to last for multiple generations. New Georgia trusts can last for up to 360 years, thanks to an amendment to O.C.G.A. § 44-6-201. That is a remarkable amount of time to keep assets protected and growing inside a trust structure, shielded from estate taxes at each generational transfer.

A credit shelter trust (also called a bypass trust or family trust) is often used by married couples. When one spouse passes away, a portion of their assets is placed into a trust which passes to beneficiaries on the death of the surviving spouse. The assets in the trust, and any appreciation, are sheltered from estate taxes at the death of the second spouse.

Slowik Estate Planning can help you identify which trust structure, or combination of structures, makes the most sense for your family. Reach out to our Atlanta office to schedule a consultation.

Understanding the Tax Rules That Apply to Your Trust

One of the most important things to understand about trust planning is how taxes apply to trust assets. This is where federal law gets detailed, and where good planning can save your family a significant amount of money.

Under Internal Revenue Code Section 671, if you are treated as the owner of a trust for income tax purposes (called a “grantor trust”), the income and deductions of that trust flow through to your personal tax return. This is actually a feature, not a bug, for many planning strategies. It allows the trust assets to grow without the trust itself paying income tax, which effectively transfers more wealth to your beneficiaries over time.

However, there is an important tax consideration with irrevocable grantor trusts. Under IRS Revenue Ruling 2023-2, assets held in an irrevocable trust that are not included in your gross estate do not receive a step-up in basis at your death under Internal Revenue Code Section 1014. In plain terms, if you transfer appreciated assets into an irrevocable trust and those assets are not pulled back into your taxable estate, your beneficiaries will inherit them at your original cost basis, not the value at the time of your death. This means they could owe capital gains tax on more of the appreciation when they eventually sell those assets.

On the other hand, assets that do pass through your estate, such as those held in a revocable trust, generally do receive a step-up in basis under I.R.C. § 1014(a)(1). A step-up in basis can reduce capital gains taxes on inherited property when sold. Balancing estate tax savings against capital gains tax exposure is one of the most nuanced parts of trust planning, and it requires careful analysis.

Our team at Slowik Estate Planning stays current on IRS rulings and federal tax law so your plan reflects the most up-to-date rules. Contact us to discuss how these tax rules apply to your specific situation. We handle trust planning matters directly and do not refer these cases out to other attorneys.

How Georgia Law Governs Trust Administration and Beneficiary Rights

Setting up a trust is only half the job. What happens after the trust is created matters just as much. Georgia’s Revised Trust Code of 2010, found in O.C.G.A. Title 53, Chapter 12, sets out clear rules for how trustees must manage trust assets and communicate with beneficiaries.

Trustees in Georgia have a legal duty to keep beneficiaries informed. On reasonable request by any qualified beneficiary, the trustee must provide a report of information about the assets, liabilities, receipts, and disbursements of the trust, the acts of the trustee, and the particulars relating to the administration of the trust. This is not optional. Trustees who fail to meet these obligations can face legal consequences.

A trustee must account at least annually, at the termination of the trust, and upon a change of trustees to each beneficiary of an irrevocable trust to whom income is required or authorized to be distributed currently. Annual accounting keeps everyone on the same page and reduces the chance of disputes between family members down the road.

Understanding your rights as a trust beneficiaries is just as important as understanding the trust itself. Beneficiaries have the right to information, the right to hold trustees accountable, and in some cases, the right to petition a court to modify or terminate a trust under O.C.G.A. § 53-12-61.

Proper trust administration is also critical to making sure the trust actually does what it was designed to do. A trust that is poorly administered can lose its tax benefits or fail to protect assets as intended. Slowik Estate Planning assists families throughout Atlanta and Georgia with trust administration, helping trustees fulfill their duties and helping beneficiaries understand their rights. Call us to learn more about how we can support your family through this process.

Building a Complete Estate Plan That Goes Beyond the Basics

Trust planning is the foundation of a strong estate plan, but a truly complete plan covers more ground. Think about all the people and things that depend on you. Your children, your parents, your business partners, and yes, even your pets all have a stake in how your estate is structured.

For families with minor children or loved ones with special needs, a trust can name a trustee to manage assets responsibly until beneficiaries are mature enough to handle them on their own. You can set conditions on distributions, such as requiring a beneficiary to finish college or reach a certain age before receiving a larger share. This kind of flexibility is one of the biggest advantages of trust planning over a simple will.

Georgia law also recognizes the importance of planning for your animals. Pet guardianships and pet trusts allow you to designate a caregiver and set aside funds for your pet’s care after you are gone. This is a small but meaningful piece of a comprehensive estate plan that many people overlook.

Simultaneous death is another issue that Georgia law addresses directly. Under O.C.G.A. Title 53, Chapter 10, Georgia has adopted rules for how property passes when two people die at or near the same time. A well-drafted trust accounts for these scenarios and ensures your assets end up where you intended, no matter what happens.

A complete plan also includes powers of attorney, advance healthcare directives, and beneficiary designations on retirement accounts and life insurance. These documents work alongside your trust to make sure every asset is covered. Strategies like trusts, gifting, and charitable donations can help lower federal estate tax liability and protect assets for heirs.

The bottom line is that your family deserves a plan that covers every angle. As your Atlanta estate planning lawyer, Slowik Estate Planning is here to help you put all the pieces together. Our office is located in Atlanta, Georgia. Call us today to schedule your consultation and take the first step toward protecting your family’s wealth for generations to come.

FAQs About Trust Planning to Protect Family Wealth in Atlanta, Georgia

Does Georgia have an estate tax or inheritance tax that my trust needs to address?

Georgia does not have a state estate tax or a state inheritance tax. However, your estate may still be subject to federal estate tax if its value exceeds the federal exemption. As of January 1, 2026, the federal lifetime estate and gift tax exemption is $15 million per person, or $30 million for a married couple. The federal estate tax rate on amounts above that exemption is 40%. A properly structured trust can help reduce or eliminate your federal estate tax exposure. Slowik Estate Planning can review your situation and help you build a plan that takes full advantage of current exemptions.

What is the difference between a revocable trust and an irrevocable trust in Georgia?

A revocable trust lets you keep control of your assets during your lifetime and change or cancel the trust at any time. It avoids probate but does not protect assets from creditors or reduce estate taxes, because you still legally own those assets. An irrevocable trust, on the other hand, transfers ownership of assets out of your name. This can provide creditor protection and reduce your taxable estate, but it comes with less flexibility. Under O.C.G.A. § 53-12-61, Georgia law does allow for modification or termination of an irrevocable trust under certain conditions, which provides some relief if your circumstances change significantly.

Will my beneficiaries get a step-up in basis on assets held in an irrevocable trust?

This is one of the most important tax questions in trust planning. Under IRS Revenue Ruling 2023-2, assets held in an irrevocable trust that are not included in your gross estate generally do not receive a step-up in basis at your death under I.R.C. § 1014. This means your beneficiaries may owe capital gains tax based on your original purchase price, not the value at the time of your death. Assets that do pass through your taxable estate, such as those in a revocable trust, typically do receive a step-up in basis. Balancing these tax outcomes requires careful planning, and Slowik Estate Planning can help you weigh the trade-offs.

How long can a trust last in Georgia?

Georgia amended its rule against perpetuities in 2018 to extend the safe harbor period from 90 years to 360 years. This means a properly drafted trust in Georgia can last for up to 360 years, making dynasty trusts a real and powerful option for families who want to protect wealth across many generations. A dynasty trust can hold assets for your children, grandchildren, and great-grandchildren while keeping those assets sheltered from estate taxes at each generational transfer. Slowik Estate Planning can help you set up a dynasty trust that fits your family’s long-term goals.

What rights do trust beneficiaries have under Georgia law?

Georgia’s Revised Trust Code of 2010, found in O.C.G.A. Title 53, Chapter 12, gives trust beneficiaries meaningful rights. Qualified beneficiaries can request detailed reports on trust assets, liabilities, receipts, and disbursements. Trustees are required to account at least annually to beneficiaries of irrevocable trusts who receive or may receive income distributions. Beneficiaries also have the right to petition a court to modify or terminate a trust under certain conditions. If you are a beneficiary and believe a trustee is not fulfilling their duties, Slowik Estate Planning can help you understand your options and take appropriate action.

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