Minnesota’s New Trust Laws: What You Need to Know
Minnesota’s trust laws are changing. Find out how these updates impact your estate planning today!
Have you reviewed your estate plan lately? If you live in Minnesota, you might want to take a closer look. As of August 1, 2025, the state implemented significant updates to its trust and estate laws, marking the most substantial changes since the Minnesota Trust Code was enacted in 2016. These revisions could impact how you plan for your legacy, so it’s crucial to understand what’s new.
One notable change is the duration of trusts. Minnesota has extended the maximum lifespan of trusts from the previous limit—known as the rule against perpetuities—to an impressive 500 years. This means families can now create trusts that last for multiple generations, providing a robust opportunity for long-term financial planning. Imagine being able to set up a trust that secures your family’s wealth for centuries!
Another key adjustment involves the termination of uneconomic trusts. The threshold for a trustee to dissolve a trust due to high administration costs has risen significantly from $50,000 to $150,000. This change allows trustees to take action when managing a trust becomes too costly, streamlining the process and potentially saving beneficiaries from financial strain.
Additionally, the new law clarifies how divorce affects estate plans. Now, an ex-spouse and their family members will automatically be disinherited unless stated otherwise in the will or trust. This underscores the importance of revisiting your estate plan after a divorce to ensure that your true intentions are reflected and that unwanted heirs are excluded from your estate.
Lastly, the law introduces a deadline for contesting the validity of revocable trusts. If a trustee sends proper notice, beneficiaries have 120 days to challenge the trust’s validity. This provision helps expedite the process and provides clarity in trust management during potentially contentious times.
With these changes, reviewing and updating your estate plan has never been more pressing. Take action now to ensure that your estate documents reflect your wishes and comply with current laws. Don’t leave your family’s future to chance—understanding these new regulations can help safeguard your legacy and ensure your intentions are honored for generations to come.