What is a retirement trust?

Retirement assets—e.g., 401(k), 403(b), IRA, or Roth IRA—are treated differently by the government in terms of taxation. A retirement trust is very similar to a revocable trust but is optimized to handle your retirement assets. It offers possible creditor and divorce protection to beneficiaries and provides structure, which may be helpful to a minor or an incapacitated beneficiary.