A Michigan Qualified Subchapter-S Trust (SST) for the benefit of a child with a Crummy Trust Agreement is a specific type of trust that allows both the benefits of a Crummy Trust and the advantages of a Subchapter-S Corporation. A Crummy Trust is a type of irrevocable trust used to remove assets from the granter's estate while still enabling gift tax exclusions. It operates by granting beneficiaries the power to withdraw assets for a specific period after they are contributed to the trust. By employing this strategy, the granter can take advantage of the gift tax annual exclusion and reduce estate taxes in the long run. In the case of a Michigan SST for the benefit of a child, the trust also takes advantage of Subchapter-S status. Subchapter-S Corporations are a special type of small business entity that allows for pass-through taxation benefits. By incorporating a Subchapter-S Corporation into the structure of the trust, the trust's income can be taxed at the individual level rather than the trust level. There are a few different types of Michigan SST for the benefit of a child with a Crummy Trust Agreement, including: 1. Regular Michigan SST with Crummy Trust Agreement: This is the most common type of trust structure, where the assets are held in a Michigan SST for the benefit of a child, and the Crummy Trust Agreement is utilized to ensure gift tax exclusion eligibility. 2. Michigan SST with Multiple Children as Beneficiaries: In this variation, the trust is established to benefit multiple children, typically siblings. The Crummy Trust Agreement is applied to each child's share of the trust assets, allowing for gift tax exclusions for each contribution. 3. Michigan SST with a Testamentary Crummy Trust: Unlike the other variations, a testamentary Crummy Trust is created upon the granter's death, rather than during their lifetime. This allows the trust assets to be removed from the estate while still benefiting from gift tax exclusions. 4. Michigan SST with Crummy Trust and Special Needs provisions: This type of trust is designed to cater to the specific needs of a disabled child or a child with special needs. It incorporates the Crummy Trust Agreement to avail gift tax benefits while also ensuring that the child's eligibility for government assistance programs is not jeopardized. Overall, the Michigan SST for the benefit of a child with a Crummy Trust Agreement offers a unique combination of benefits by combining the advantages of a Crummy Trust and a Subchapter-S Corporation. These trusts provide tax advantages, estate planning flexibility, and the ability to benefit children while still removing assets from the granter's estate.