A Succession Trust is a legally enforceable structure that holds your family's assets and distributes them to your children and grandchildren according to rules you set — protecting your legacy from disputes, creditors, and Family Provision Act claims that a Will simply cannot withstand.
Wills are simple — and that simplicity is exactly their weakness. They go through probate, they can be contested under the Family Provision Act, and they offer no protection against a child's creditors, a future divorce, or a new spouse claiming their entitlement. The consequences can be catastrophic — and entirely preventable.
A Succession Trust addresses every one of these risks by holding assets outside the estate entirely — governed by legally binding rules you set during your lifetime, not subject to the uncertainty of probate or Family Provision proceedings.
Children, spouses, and other relatives can contest a Will if they feel inadequately provided for — even those estranged for decades. Courts have awarded substantial sums against the testator's wishes. Assets in a Succession Trust are held outside the estate and are generally not subject to such claims.
Wills must pass through probate before assets can be distributed — a process that can take months or years, particularly if contested. A Succession Trust avoids probate entirely: assets transfer to the next generation immediately on the agreed trigger event.
A bequest to a child under a Will distributes assets outright. If that child later divorces, faces bankruptcy, or has creditors — their inheritance is exposed. A Succession Trust can hold the child's share in trust, providing ongoing protection without giving up the benefit.
If a surviving spouse remarries, assets distributed under a Will may ultimately pass to the new partner's family — not your children. A Succession Trust can restrict distributions to direct descendants, ensuring wealth stays in the bloodline regardless of what happens after your death.
A $14.5M estate — and a Will that wasn't enough
Our comprehensive Succession Trust guide and Lockdown vs Non-Lockdown factsheet explain every detail — including the options available when setting up the trust.
A Succession Trust is a special arrangement that holds your family's assets — money, property, investments — and distributes them to your children or grandchildren based on rules you set during your lifetime. You remain in control throughout. When you pass away, your spouse or children take over — following your rules, not a court's interpretation of a document you wrote years ago.
Trust assets are held separately from your personal estate — generally shielding them from Family Provision claims, creditors, and probate entirely.
You set the rules during your lifetime — who receives what, when, and in what proportion. No ambiguity. No court interpreting a vague Will years after you're gone.
Unlike a Will, a Succession Trust starts working from the moment it is established — you are in control from day one, and it continues seamlessly after your death.
Three steps from establishment to secured legacy — with you in full control at every stage.
Work with MGS to establish the trust — with yourself as the trustee to manage it. Decide how your assets will be shared after you pass away and customise the features and protections that apply: bloodline restrictions, voter requirements, capital distribution dates, and whether you choose Lockdown or Non-Lockdown.
Transfer money, property, or other assets into the trust — separating them from what will form your personal estate. Assets inside the trust are held by the trustee and generally cannot be claimed under the Family Provision Act or reached by your estate's creditors.
Remain in full control of the trust during your lifetime — able to make changes as your family's circumstances evolve. When you pass away, your spouse or children take over as trustee and follow the rules you established, distributing assets exactly as you intended.
A Succession Trust is not a one-size-fits-all document. Every feature can be customised to your family's specific situation — from bloodline restrictions to voter requirements and capital distribution timing.
Restrict benefits to only your direct descendants — your children and grandchildren — keeping your wealth safe from non-family members including spouses of children, step-children from a surviving parent's new relationship, or other people who might otherwise benefit from a general discretionary trust.
Require a vote among chosen parties — such as a group of your children — before the trust can be changed. This prevents any single person from unilaterally altering the distribution rules after your death, ensuring that changes reflect the shared agreement of those most affected.
Set a future date or event for distributing the trust's capital — for example, when your youngest child turns 18, or when a certain condition is met. This protects trust assets until your beneficiaries are ready to use them wisely, preventing premature distributions that could be wasted or lost.
Decide how income and capital are shared — equally among all children, in specific portions tailored to individual needs, or with separate rules for when one parent passes versus after both are gone. You can set different rules for each phase of the trust's life, giving you precise and evolving control over your legacy.
Assets transferred to a Succession Trust are held outside your estate and are generally not subject to Family Provision Act claims — the mechanism by which estranged relatives and other claimants challenge Wills. The trust's structure provides a legally sound shield that a Will alone cannot offer.
You are not locked in. The trust can be amended as your family's circumstances evolve — a new grandchild is born, a child's financial situation changes, or your own priorities shift. MGS provides ongoing support for any amendments required after establishment.
The most important decision when establishing a Succession Trust. Each variation determines who takes control after the first parent dies — and the choice reflects your family's specific circumstances and the level of protection you require.
On the death of the first parent, control passes directly to the children — not the surviving parent. The distribution rules lock in immediately, preventing the surviving parent from redirecting assets to a new partner or step-family.
Both parents act as trustees and appointors. Full discretion over income and capital distributions.
The Lockdown provisions immediately activate. Control transfers to the children — not the surviving parent. Succession rules govern all distributions from this point.
Assets are fully protected from a new spouse or step-family from the first parent's death. No opportunity for the surviving parent to redirect wealth.
On the death of the first parent, the surviving parent retains control of the trust. The succession rules for the children activate only after the second parent also passes.
Both parents act as trustees and appointors. Full discretion over income and capital distributions.
The surviving parent continues as trustee. They can continue to provide for the family and manage the assets through their own life — with the succession rules waiting in the background.
The succession provisions fully activate. Children take over as trustees and follow the rules set by both parents — distributing income and capital as intended.
Not sure which variation is right for your client? Download the Lockdown vs Non-Lockdown Factsheet for a detailed side-by-side comparison, or call MGS on (02) 9231 5111 to discuss.
For most families with significant assets, a Succession Trust and a Will serve different purposes. Here's how they compare across the dimensions that matter most.
Recommended for significant assets & complex families
Simpler, but significantly less protection
If you already have a discretionary or family trust in place, it may be possible to convert it to a Succession Trust — without establishing a new structure. MGS will review the terms of the existing deed and, if the amendment power permits, can incorporate succession provisions directly.
MGS reviews the existing trust deed's amendment clause. If it permits the addition of succession provisions, we prepare a Deed of Variation incorporating the full succession framework — including bloodline restrictions, voter requirements, and Lockdown or Non-Lockdown provisions — without establishing a new trust or disrupting the existing asset base.
A standard discretionary trust gives the trustee unlimited discretion over distributions — whoever controls the trust after your death controls where the money goes. A Succession Trust restricts that discretion: it builds in legally binding rules governing who can receive income and capital, and under what conditions — so your wishes are enforceable, not merely hoped for.
Money, property, shares, business interests, and other investments can all be placed into the trust. Stamp duty may be payable on transfers of real property in some states — MGS advises on state-specific considerations before establishment. Once inside the trust, assets are protected and managed according to your rules.
You determine who takes over as trustee and appointor in the deed. In a Non-Lockdown structure, the surviving parent takes over; in a Lockdown structure, the children take control immediately on the first parent's death. The trust deed governs their actions — they cannot deviate from your rules.
Yes — the trust's beneficiary class can include grandchildren and their descendants. With the bloodline option activated, the trust restricts benefits to your direct descendants only — meaning grandchildren are included but their spouses, or any non-blood beneficiaries, are not.
This is exactly the scenario a Succession Trust is designed to address. With bloodline restrictions activated, a new spouse cannot benefit from the trust. In a Lockdown structure, the children take control on the first death, so the surviving parent has no ability to redirect trust assets to a new partner. In a Non-Lockdown structure, specific restrictions can be included limiting the surviving parent's ability to benefit a new spouse.
No. Any family with meaningful assets — a family home, a business, investments, or savings — can benefit from the protection and certainty a Succession Trust provides. The key question is not the dollar value of your estate, but whether you want to control how your assets are distributed and ensure they are protected from claims and disputes.
Absolutely — and blended families are precisely where Succession Trusts are most valuable. The deed can be customised to balance support for a surviving spouse, biological children, and stepchildren in exactly the proportions you decide — preventing disputes that are extremely common in blended family estates without proper planning.
Yes — during your lifetime, you retain full control and can amend the trust's provisions as your family's circumstances evolve. A new grandchild is born, a child's situation changes, or your priorities shift — MGS can prepare any necessary deed amendments. The trust's rules lock in at death, but are flexible while you are alive.
Family disputes, unexpected risks, and legal challenges can threaten your legacy — and a Will alone is not enough to stop them. A Succession Trust ensures your wealth is shared exactly as you wish, keeping your family united and your legacy protected for generations.
Succession Trusts are often established alongside these complementary products — for a complete inter-generational wealth planning strategy.
The Bank of Mum and Dad Trust — help a child purchase a home with a legally enforceable loan structure that protects your contribution from divorce, bankruptcy, and estate disputes. Often used alongside a Succession Trust for comprehensive family planning.
View BOMAD Trust →The Bank of Nanna and Poppa Trust — extends the BOMAD concept to grandparents providing financial assistance to a grandchild for a home purchase. Control vests in grandparents initially, with a parental layer before the grandchild takes over.
View BONAP Trust →The full MGS trust deed range — discretionary, unit, hybrid, capital pool, BOMAD and BONAP trusts. All delivered within 24 hours, with firm branding included. From $400 excl. GST.
View All Trusts →Our team can help you understand which variation of Succession Trust is right for your client, and whether an existing trust can be converted. Call or email anytime.
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