When you create a Will or Trust with Trust & Will, the way assets are distributed to beneficiaries is input automatically into your plan. Based on your answers in the questionnaire, your documents will include specific legal language (either per stirpes or pro rata) without you needing to select or add these terms yourself.
What Does “Per Stirpes” Mean?
Per stirpes is a legal term that means “by branch.” It’s designed to keep assets within a family line if a beneficiary passes away before or at the same time as you.
The easiest way to think about per stirpes is this:
If a beneficiary dies before you and has children (or other descendants), their share of your estate automatically passes to their descendants instead of being redistributed to others.
How per stirpes works:
- Each beneficiary’s share is tied to their family branch.
- If a beneficiary passes away before you, their portion goes to their children or descendants.
- This helps ensure future generations are provided for without requiring you to update your estate plan.
Example:
- You name three children: Alice, Tom, and John.
- Each is entitled to one-third of your estate.
- Tom passes away before you and has two children.
- When you pass:
- Alice receives one-third
- John receives one-third
- Tom’s two children split Tom’s one-third share (each receiving one-sixth)
This structure keeps the distribution balanced across family branches.
Why Don’t I See My Children’s Names Listed Individually?
When per stirpes language is used, beneficiaries may not always be listed by name in the document. Instead, they’re referenced collectively (for example, “my descendants, per stirpes”).
This approach:
- Allows future children or grandchildren to be included automatically
- Keeps the plan flexible over time
- Avoids the need to update documents when family changes occur
As long as each child is listed correctly in the Children section of your estate plan (and any exclusions are specified), they are included.
What Does “Pro Rata” Mean?
Pro rata means assets are divided equally among the beneficiaries who are alive at the time distributions are made.
How pro rata works:
- Each surviving beneficiary receives an equal share.
- If one beneficiary passes away before distribution, their share is redistributed among the remaining beneficiaries.
- The descendants of the deceased beneficiary do not inherit under a pro rata distribution.
Example:
- You name Alice, Tom, and John as beneficiaries.
- Tom passes away before you.
- Assets automatically adjust and Alice and John each receive 50% of the estate.
How Distribution Terms Work in Wills
For Will-based plans, distribution terms depend on who you choose as beneficiaries:
- If you leave assets equally to your children OR to a spouse, and then to children
→ Your Will automatically uses per stirpes language. - If you leave assets to other beneficiary choices (such as siblings, friends, or charities) → Your Will automatically uses pro rata language.
- All contingent (backup) beneficiaries in Wills receive assets pro rata.
How Distribution Terms Work in Trusts
For Trust-based plans:
-
Primary and residuary beneficiaries always receive assets per stirpes
- This applies regardless of how you answer the questionnaire
- Contingent (backup) beneficiaries always receive assets pro rata
This structure helps support long-term family planning while keeping distributions clear and predictable.
A Few Helpful Notes
- You cannot/do not need to manually select “per stirpes” or “pro rata”
- The software automatically applies the correct legal language
- Per capita distributions are not offered
- The rules above apply consistently across all Trust & Will plans
Need Help?
If you have any questions or encounter issues, our Member Support Team is here to help. You can contact us at support@trustandwill.com or by phone or live chat.