Skip to main content

Marital Trust

Trust Terms

An umbrella term for trusts that hold assets for a surviving spouse and qualify for the federal marital deduction; the QTIP is the most common variation.

A marital trust is an umbrella term for any trust funded at the first spouse's death that holds assets for the benefit of the surviving spouse and qualifies for the federal marital deduction. The deduction defers estate tax until the survivor's death.

Common Marital Trust Variations

  • QTIP trust (qualified terminable interest property): the standard choice for Arizona blended families. The survivor gets income for life, but the first spouse to die names the remainder beneficiaries.
  • General power of appointment (GPOA) marital trust: the survivor gets income for life and the right to redirect the remainder by will. Less common today because it surrenders control over who ultimately inherits.
  • Qualified Domestic Trust (QDOT): required to claim the marital deduction when the surviving spouse is not a U.S. citizen.

Why Use One

Outright transfers to a spouse also qualify for the marital deduction, but they give up all control over who eventually inherits. A marital trust keeps the tax benefit while letting the first spouse to die direct the remainder, which matters most in second marriages, families with children from a prior relationship, and estates large enough to be exposed to federal estate tax.

Arizona Spousal Protections

Any marital trust has to be coordinated with Arizona's family protection statute, A.R.S. 14-2401, so the surviving spouse actually receives the support the trust is meant to provide.

Related Services

Get Started Today

Need Help With Your Estate Plan?

RJP Estate Planning works hand in hand with experienced estate planning counsel to help you understand your options.

(480) 346-3570