How Middle Class Families Get Shut Out of Trust Funds

In Episode 32 of Wealth Distribution with Fexingo, Lucas and Luna explore how the trust fund — once a tool for the merely affluent — has become a key driver of dynastic wealth for the top 1%, while middle class families rarely use them. They break down the numbers: only about 2% of US households have a trust, and the median trust size is around $400,000, which is enough to pass on wealth but not to create a dynasty. They discuss the legal costs (often $2,000-$5,000 to set up), the tax implications, and how the lack of trust usage among middle class families widens the inheritance gap. Lucas explains the concept of a 'generation-skipping trust' and why it matters, while Luna raises the point that even modest trusts can have a big impact over time. They close by tying it to the broader episode theme: the structural advantages that compound for the wealthy in ways most families never access. #TrustFunds #WealthDistribution #EstatePlanning #InheritanceGap #MiddleClass #Top1Percent #WealthInequality #GenerationSkippingTrust #FinancialLiteracy #EstateTax #WealthTransfer #DynasticWealth #LegalCosts #FamilyWealth #Economics #BusinessPodcast #FexingoBusiness #WealthDistributionPodcast Keep every episode free: buymeacoffee.com/fexingo