Founders can transfer wealth by paying rent to trust-owned homes
Alessandro Chesseri · The Revocable Living Trust Cheat Code for SaaS Founders (Save millions on taxeS) · Aug 22, 2024 · at 17:02
Alessandro Chesseri explains how founders use irrevocable trusts to buy property and transfer untaxed wealth to beneficiaries via rent payments.
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“If the trust buys real estate, they can rent to live in that real estate. So they're not directly connected. So for example, like, let's say I have my daughter I'll create an irrevocable trust for my daughter. I'll use the proceeds of sale to buy a house. I'll live in the house. I'll pay rent. That rent goes back to my daughter and the trust that I created for her. And so it's a way of, you know, you get around the taxes and the money just goes back to my daughter for the rent.”
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