What Is a Flexible Life Interest Trust? 🦸♂️
04 August 2025 /
A Flexible Life Interest Trust (FLIT) is a powerful way to protect your assets – like savings, investments, and additional property – for your loved ones.
At Beacon Advice, we usually use a Flexible Life Interest Trust alongside a Property Protection Trust, which separately protects each person’s share of the main home.
The FLIT takes care of everything else. (see supplemental)
Why Consider a Flexible Life Interest Trust? 💼
Life changes fast. Families grow and circumstances shift.
A FLIT helps you adapt. It lets you look after your partner or spouse while ringfencing other assets for your children or chosen beneficiaries.
Key benefits:
- Protects savings, investments, and other property
- Provides for your partner during their lifetime
- Ensures your children inherit when the time comes
- Offers flexibility if family needs change
Who Should Use a FLIT? 👨👩👦
A Flexible Life Interest Trust suits people who:
- Own significant assets outside the main home
- Want to provide for a partner but guarantee children’s inheritance
- Worry about care fees or remarriage affecting their legacy
- Have blended families or complex family situations
- Need flexibility to adapt to life’s changes
Common Worries a FLIT Solves 😰➡️😊
“Will my children still inherit if my partner remarries?”
A FLIT ensures your chosen beneficiaries inherit, no matter what.
A FLIT ensures your chosen beneficiaries inherit, no matter what.
“What if my partner needs extra support later?”
Trustees can release income or capital as needed.
Trustees can release income or capital as needed.
“Could care fees eat up our savings?”
A FLIT can help shield your estate, giving you more options.
A FLIT can help shield your estate, giving you more options.
“Our family situation might change. What then?”
The trust is flexible. Trustees can respond to new needs or challenges.
The trust is flexible. Trustees can respond to new needs or challenges.
How Does a Flexible Life Interest Trust Work? ⚙️
- You set up the trust in your will.
- When you pass away, your chosen assets move into the trust.
- Your chosen person (often a spouse or partner) benefits during their lifetime.
- Trustees manage the assets, providing income or capital as needed.
- When your partner dies, the assets pass to your chosen beneficiaries—usually your children.
Real-Life Example: The Smith Family 🦸♀️🦸♂️
Jane and Alan want to protect their investments and savings.
Jane worries that if Alan remarries, her children might lose out.
With a FLIT, Alan can receive income from these assets for life.
When Alan dies, the assets pass to Jane’s children—just as she wished.
Is a FLIT Right for You? 🤔
A Flexible Life Interest Trust isn’t for everyone. It works best for those who want to:
- Balance care for a partner with protecting children’s inheritance
- Keep options open for the future
- Guard against unexpected life events
Next Steps: Get Personal Advice 🗨️
Every family is different. If you want to know if a Flexible Life Interest Trust fits your needs, book a chat with us.
We’ll explain your options in plain English—no jargon, just clear advice.
Contact us on –
Looking for unbeatable asset protection?
Ask us about using a Flexible Life Interest Trust together with a Property Protection Trust for a true “force field” around your legacy! 🦸♂️🦸♀️
Ask us about using a Flexible Life Interest Trust together with a Property Protection Trust for a true “force field” around your legacy! 🦸♂️🦸♀️
Supplementary –
Q – Why does Beacon Advice usually keep the main home and other assets separate?
A – We find that using a Property Protection Trust (PPT) for the main home keeps things clear and straightforward – especially for claiming the Residence Nil Rate Band (RNRB) tax relief and ensuring your property passes directly to your chosen beneficiaries.
The Flexible Life Interest Trust (FLIT) is then used for all other assets, like savings and investments, giving your trustees flexibility while keeping your estate plan robust and easy to manage.
This dual-trust approach is widely recognised as best practice for clarity, tax efficiency, and peace of mind.
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