Review your family trust to ensure it still meets legal requirements and protects your assets. Core Legal helps rural families and business owners in Masterton and Wellington keep their trusts fit for purpose.

Is Your Family Trust Still Fit for Purpose? Core Legal Explains Why It’s Time for a Review

Family trusts have long been a trusted tool for asset protection, estate planning, and succession management, especially for farming families and small business owners throughout Wairarapa, Masterton, and Wellington. But just because your trust was set up 10 or 20 years ago doesn’t mean it’s still working for your current needs.

With evolving laws, tighter scrutiny from Inland Revenue (IRD), and changes in family dynamics, now is the perfect time to review whether your trust is still fit for purpose.

Why Reviewing Your Trust Matters in 2025

1. The Law Has Changed

The Trusts Act 2019 introduced strict new duties for trustees, including:

• Mandatory disclosure obligations

• Transparent decision-making

• Proper record-keeping

• Beneficiary communication requirements

If your trust was established before 2021, it likely doesn’t comply with current standards. Non-compliance could place trustees at legal risk.

2. Your Family Situation Has Likely Evolved

Life changes like divorce, remarriage, blended families, or children becoming adults can all impact how your trust functions. What worked a decade ago may now lead to disputes or unintended asset distribution.

3. Ongoing Costs May Outweigh Benefits

Trusts aren’t free. There are ongoing accounting, legal, and sometimes independent trustee fees. If your trust no longer provides real protection—like for business risk or relationship property—it could be an unnecessary financial burden.

4. Outdated Succession Planning

Are the right people still named as trustees or beneficiaries? Does the trust reflect your current estate planning goals? If not, it may be time to update your documents or restructure entirely.

Key Questions to Ask in Your Trust Review

• Why was the trust established originally?

• Are those reasons still relevant today?

• Is the trust compliant with the Trusts Act 2019?

• Are your trustees aware of their legal obligations?

• Does the trust still protect your farm, business, or personal assets?

What Can You Do?

At Core Legal, we recommend reviewing your family trust every 2 to 3 years, or after any major life event. A professional review can confirm:

• The trust is still legally compliant

• It continues to serve its intended purpose

• Trustees understand and meet their obligations

• Beneficiaries are appropriately informed and protected

If your trust no longer serves you, it may be time to wind it up and simplify your affairs.

Get Rural-Savvy Legal Advice

At Core Legal Masterton and Wellington, we understand the unique needs of rural families, farmers, and business owners. Our team offers fixed-fee trust reviews and practical advice to help you make informed decisions.

Contact Core Legal today to book your trust health check—protect what matters most, the smart and compliant way.