Calculate trust distributions between income and principal across beneficiaries.
The trust preserves principal only when total return exceeds distributions plus fees. Setting the distribution rate above that threshold gradually depletes what remainder beneficiaries receive. Trustee fees are often overlooked yet a 0.8 per cent fee consumes a fifth of a 4 per cent distribution's worth of return, which compounds against the remainder over decades.
Trust Distribution
Net growth = total return − distribution rate − trustee fees, compounded over the period
This is a general illustration, not financial, tax or legal advice. Rules, thresholds and rates vary by jurisdiction and change frequently, and individual circumstances materially affect outcomes. Consult a qualified adviser before making any decision based on these figures.
Net growth = total return − distribution rate − trustee fees, compounded over the period The trust preserves principal only when total return exceeds distributions plus fees. Setting the distribution rate above that threshold gradually depletes what remainder beneficiaries receive.
Trustee fees are often overlooked yet a 0.8 per cent fee consumes a fifth of a 4 per cent distribution's worth of return, which compounds against the remainder over decades.
This calculator takes 6 inputs: Trust principal, Annual total return, Distribution rate, Annual trustee fee, Income beneficiaries, Years to project. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.