Attorney
What is a spendthrift trust and how could a spendthrift trust benefit my family?
A trust can specify how property will be managed and distributed for beneficiaries. A funded living trust may avoid probate for the property it owns; tax benefits depend on the particular arrangement. Spendthrift and distribution provisions can provide continuing financial support while limiting some creditor risks.
Spendthrift Provisions in Your Florida Trust
A spendthrift provision restricts a beneficiary’s ability to transfer a trust interest and generally prevents most creditors from reaching that interest before distribution. Florida law contains exceptions, including specified support claims, and separate rules apply to overdue mandatory distributions. The protection is not absolute.
The trust’s distribution provisions determine what a beneficiary may receive or request. A spendthrift provision separately restricts transfers of the beneficiary’s interest and many creditor claims before distribution, subject to statutory exceptions. Rather, the beneficiaries will receive benefits from the trust through the named trustee. Benefits can come in the form of regular payments or goods and services purchased through the trust for the beneficiary. Once payment is made to the beneficiary, those funds could be subject to seizure by creditors.
Should You Consider a Spendthrift Trust?
A trust with appropriate spendthrift and distribution provisions may help a beneficiary who:
- Would benefit from help managing money;
- Has considerable debts;
- Needs support while addressing addiction or another health concern; or
- Might be easily defrauded or deceived.
Selecting a capable trustee and practical distribution standards is as important as adding a spendthrift clause. A trust can support a loved one without treating every future need as predictable. Speak with me about an arrangement suited to your family.
Sources: Florida Statutes § 736.0502; Florida Statutes § 736.0503; Florida Statutes § 736.0506.
Updated October 26, 2026.