Grantor

The grantor (also called a settlor or trustor) is the individual who establishes a trust, defines its terms, and transfers assets into it.

In a revocable trust, the grantor typically serves as both trustee and beneficiary during their lifetime, maintaining full control. In an irrevocable trust, the grantor gives up ownership and control of the transferred assets.

The term "grantor trust" has a specific tax meaning — it refers to any trust where the grantor is treated as the owner for income tax purposes, regardless of whether the trust is revocable or irrevocable. This distinction matters significantly for tax planning.