New Zealand Families Face Common Traps With Over 300,000 Active Trusts

New Zealand currently has more than 300,000 family trusts in operation across the country. Many people who set up these legal structures make avoidable mistakes that can put their assets at risk. Experts highlight that failing to properly document trustee decisions and mixing personal funds with trust money are among the top errors. Another frequent issue is not keeping proper records of gifting and loans between the family and the trust. These oversights can cause legal trouble and tax problems when authorities review the accounts. Setting up a trust requires careful attention to the rules even after the paperwork is initially signed.