Lou talks about what trusts are and what they can do for you.
Trust is a contract between the trustee and the beneficiary. There are about 30 different kinds of trusts. In Lou’s earlier career, some of the trusts that he chose were the land trust and personal property trust. These trusts certainly brought Lou some great things.
Watch this video now and learn from Lou which of these trusts is best suitable for you.
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* Money Making Secret #2: The Art of Structuring Deals! I’ve been doing this for 40 years and I love to share how I get sellers to give me the house, a check, and even a jet ski or two.
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* Money Making Secret #4: Trusts Simplified! A little confused on this entire Trust thing? Why to do it? How to do “Subject-To” safely? I’m going to show you my new fundamentals of Trusts training that will simplify the concept of Trusts, so a 9-year-old child can understand it.
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Easy Ways to LEGALLY Raise Big Money for Your Deals Renovations
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Accelerating Your Cash Flow – Add built-in “Profit Centers” – extra hundred$ per month
Case Studies: Secrets of How They Were Found, Negotiated and Sold
How to Protect Your Deal from Someone Else Stealing it
Legally Pay ZERO Taxes on Your Real Estate Portfolio – simple structure worth thousands
Having Tenants Leave Your Property in Better Condition than When You Gave It to Them
Why Land and Personal Property Trusts are the Best Privacy and Asset Protection
Benefits of Trusts You Cannot Get With ANY Other Entity
The Due-on-Sale Clause – What it is and How to Avoid it Legally And MUCH More
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Lou Brown:
One of the questions people ask me is, “What’s the difference between the land trust and the elite trust?” Now the elite trust is something different. It’s unique and it is a graduation point for a lot of people that have used the land trusts and the personal property trust. So what I thought I’d do is go ahead and give you a comparison between the two trusts and see if you can see what’s right for you. And if it makes sense for you to go forward with learning more about the elite trust, we definitely can set up a consultation for you to deep dive into your world and help you to decide which is best for you. So today I’m going to cover what trusts are and what they can do for you. Now, trust is a very unique thing. It’s a contract between the trustee and the beneficiary.
However, there’s about 30 different kinds of trusts. So when you hear the word “trusts,” don’t think of all of them in the same bucket. Think of them as 30 different buckets and which buckets should you choose? The ones that I chose early on in my career were the land trust and the personal property trust. And they certainly do some great things. So, let’s talk about land trust, personal property trust, and living trust. Well with a land trust, the trustee has no discretion. That means that the beneficiary has full control over the trust. That means the beneficiary tells the trustee what to do. So dominion and control resides with the beneficiary. With an elite trust, it’s the trustee that has the dominion and control. And the trustee writes all the checks and has all of the distinctions of an owner.
Now, a land personal property trust and living trust is typically revocable. That means that they can be revoked by the parties involved at any time, meaning that the beneficiary could revoke that trust because it’s a grantor-type trust. With an elite trust, it’s irrevocable, meaning once that trust is in place, it cannot be revoked, which is a good thing. If there ever was a lawsuit, if there ever was some way that they were trying to invade the Corpus of the trust in order to get and collect on a judgment, well, this is an irrevocable trust. So it cannot be taken back once it’s created. Now, with a land trust, personal property trust, and living trust, it typically does not have a spendthrift provision. What is spendthrift? That means that if any of the heirs has a lawsuit and gets a judgment against them, then no one can come into the trust to collect on that judgment.
So it’s sort of like the money is in no man’s land. Nobody can come in and get it. However, the beneficiary can still receive the benefits of that. And one of the great things about the elite trust is it does have that spendthrift provision that prevents anybody else from being able to liquidate any judgments or liens using the trust assets. Now, a land trust, personal property trust, and living trust is what’s called a “simple trust” in IRS terms while the elite trust is a “complex trust.” Now what’s the difference? Well, a simple trust means that whatever is created inside that trust flows through to the beneficiary’s tax return. So whether the beneficiary is a person or whether the beneficiary is an entity such as an LLC, a corporation, or a limited partnership, that money flows down to that beneficiary and either that individual or that entity files its own tax returns.
But with an elite trust, it has its own tax return. It does not involve the beneficiary’s tax return. The beneficiary still files its own tax return, but with a complex trust, the elite trust has to file its own tax return because it is its own taxing entity. With a land trust, personal property trust, and living trust, it’s typically a grantor-type trust meaning, if you were creating it, you would be granting your assets to the trust and that causes it to be a grantor trust. And then you become the settlor of that trust. Well, with an elite trust, that’s a non-grantor trust, which is an extremely powerful thing. What does that mean? That means that someone else creates the trust and you take it over. That means that whatever the provisions were in that trust that were created by someone else, you taking it over means you have dominion over that trust.
However, you can never change the terms of that trust because it was already created by someone else. So think of yourself as someone that inherited a trust. For example, if you inherited that trust, whatever that trust said is what that trust is. You can’t change it. That’s what happens with a non-grantor trust, which could be a very powerful thing. Again, if any court or judge were telling you, you’ve got to liquidate the trust, take something out of the trust, do something with the trust. They could impose things on a grantor trust that they could not impose on a non-grantor trust. Why? Because it was created at another time. So what I’ve done here is given you an overview of the two different kinds of trusts and for you to think to yourself, how can this be beneficial to me?
Well, that’s exactly what you’re here for, is to get an overview and an idea of where you might want to go from here. So what this is and what this is not. Well, I’ve got an all-day that we recorded and that all-day was for my graduates of my Maximum Asset Shield 4-day training, where I gave them the opportunity to learn about this wonderful thing called an “elite trust.” So you have the opportunity to tap into that all-day recording and be able to learn exactly what the folks did that day, which was a phenomenal day. It was a life-changer for a lot of people. So you would get an overview of what the elite trust is. You can learn who can benefit. You can learn generational benefits. One of the great things about an elite trust is it passes from generation to generation to generation.
In fact, it lasts until 21 years after the final beneficiary passes on. So it has a huge lifespan that can go on for decades and even hundreds of years. Now there are tax benefits with the elite trust that do not exist in the land trust, personal property trust, and living trust. So that means that the flow-through aspect of the land trust, personal property trust, and living trust, flowing through to the beneficiary during lifetime means that whatever the beneficiary’s tax situation is, remains just exactly that. However, in the elite trust, there can be tremendous tax benefits. So the way we look at it is if you’re paying $16,000 or more in taxes every year, then you definitely want to take a look at the elite trust because once you get it up and running, you’re going to have it forever. And you’re going to have the benefits of it for decades and even potentially generations to come.
It has tremendous asset protection benefits because if you think about a land trust as something that can be penetrated, it’s something that’s not going to help right away. And it’s not going to be easy, but it’s not impossible for someone to impact and access the assets of a land trust. However, with an elite trust, it is impossible to break through that unless you don’t do things the correct way. So there’s tremendous asset protection benefits with the elite trust. Now this is not a treatise on the use of these trusts, but it does give you a great overview. And if you choose to go forward with the trust, we definitely have a whole library of training and 2 calls a week that are live and in-person where you’re able to ask questions, just focused on the elite trust. This is not a platform for individual case studies.
So what you’re going to hear are some examples and some case studies, however, the folks that are attending are definitely going to be looking at their own situation. So we’re going to lay out scenarios for you, or we did lay out scenarios. So you can hear exactly how it relates to someone’s personal situation. This is not a discussion on specific tax issues, but it does give you some general information about taxes and where it sits. And this is not a place for “what if” scenarios, unless it can benefit the group. So what you will hear as part of this is a wonderful exchange of questions, lots of questions from folks that attended and decided this is a great thing for them. So there is an opportunity for you to have an individual, private consultation so that you can see if this is right for you to move forward with.
And I’ve created this recording so that people could have a big, in-depth overview of what the elite trust is and what it is not. And then you can make a decision about whether you want to have your own private consultation to decide if it’s right for you to move forward with. So this recording can really give you a lot of great information about that. So this recording was just to give you some overview information about what this is, and if you like what you’ve seen so far, then you can go ahead and purchase the all-day recording of the elite trust. And you’re going to have a lot of great information here. So now I’m going to talk to you about what we’re going to cover in this all-day training together. All right. And first it’s going to be the overview of land trusts versus elite trusts.
You’re going to understand about asset protection and Bruce Mack is going to be teaching that part of it. You’re going to understand about taxes and the tax benefits of using the trust. We’re gonna have a Lunch and Learn Q & A where you’re able to deep dive into all the questions that you have up to that point. And then we’re going to have 2 breakout groups that we’ve recorded. Existing users went over to Gina. And the one that you’re going to see is possible users asking their questions and that’s Lou and Bruce doing that one. And then the elite trust with other entities plus property management. So in other words, when you have other entities like an LLC, corporation, limited partnership, even other trusts, how does that fit into the elite trust world and how do you manage your properties as well? Scenarios and huge benefits.
Gina’s going to cover that. She is Dr. Gina Gaudio-Graves. She is someone who has been there, done that, a former attorney, Notre Dame scholar, and has some great input in what this is and how it works. And I think you’re going to get a lot of benefit from hearing from her. Implementing the trust conveyances to the trust and compliance. So how is it that we get our assets into the trust? And what does that look like? And what is your involvement in that process? And what’s actually included in the elite trust that is done for you and giving you support on those things. And how do I get one? So basically you’re going to see everything from stem to stern in this recording. And that’s exactly why we wanted to do it, to have all of your questions answered. There is going to be a final question and answer session as well, handled by the panel.
So you’ve got an opportunity to really deep dive, learn about this amazing thing called the elite trust, compare it to what you’re already doing and see if it makes sense for you to take advantage of that. So what we have as at some point, you may say, “Hey, I’m definitely interested in this for myself or my family,” and you’ll have an opportunity to go to the chat and, or go to a box that we’ve created for you and say, “I want elite.” And you, we will send you privately, a calendar link to book your free, no obligation consultation. So you can ask personal questions and decide if this is right for you. No pressure selling, just honest feedback about you and your situation. If you decided to move forward, you will receive credit for what you paid for this event. Call 1-800-578-8580 to get this recording.
And we will cover pricing on that call as well. And we will discuss recordings of that event as well. So you’re going to already have the recording that we did sell to the participants during that event. And that’s a wonderful thing to give you an opportunity to go from stem to stern all the way to compare the different types of trusts that you may be involved in, with this elite trust and whether all the benefits that a lot that are available in the elite trust are for you or not. So I’m going to encourage you to go ahead and take advantage of this training right now.
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