That's why billionaires never do this #animation #Finance #usatoday #unitedstates

Why don't billionaires ever leave their money directly to their children? Tom is a billionaire. He wants to leave his immense fortune to her son. But if he simply gives him the money when he dies, the government gets involved. It hits them with the death tax. It takes 40%. That's $400 million gone forever. But Tom is smart. He knows that owning things in your own name is a trap for the middle class. So Tom doesn't give his son a single cent. Instead, he creates a legal ghost called an irrevocable trust. He locks all his billions inside this trust. Now, the trust legally owns the money, not Tom and not his son. His son is just the beneficiary. He can use the money from the trust to buy mansions, cars and private jets. But since his son doesn't technically own the money on paper, he doesn't pay any inheritance tax. And there's a bonus. If his son is sued, the lawyers can't touch the money. If he divorces, his ex-wife gets nothing. The wealth is completely bulletproof. For the ultra-rich, the secret to keeping it all is to own nothing legally. If you want to learn the rich people's cheat codes, subscribe.