Per capita at each generation and per stirpes, for Michigan trustees

The three systems, in one sentence each

Strict per stirpes — the division always begins at the children’s generation, one share per child living or deceased with descendants living; a deceased child’s share splits among that child’s own descendants. In Michigan this is what "per stirpes" means in a governing instrument (MCL 700.2718(2)).

Per capita with representation — divide at the nearest generation with a surviving member: one share for each survivor there and for each deceased member who left descendants; a deceased member’s share passes down to that member’s own descendants. Michigan’s statute gives no instrument phrase this meaning — a trust that wants it says so in its own words.

Per capita at each generation — divide at the nearest generation with survivors; the deceased members’ shares are combined and divided equally among the next generation’s takers, so equally-near relatives take equally. In Michigan this is the division of an intestate estate among descendants (MCL 700.2106), and what both "by representation" and "per capita at each generation" mean in an instrument created or amended on or after April 1, 2000 (MCL 700.2718(1)).

The same family tree can come out differently under different governing words — which is why the instrument controls. In Michigan the words matter twice: "by representation", "per capita at each generation" and "per stirpes" each have a statutory meaning when an instrument uses them (MCL 700.2718), and intestacy divides per capita at each generation (MCL 700.2106). A trust may also define its own scheme or name alternate takers, and reading a particular instrument against the statute is licensed-attorney work.

Frequently asked questions

What does "per capita at each generation" mean under Michigan law?

MCL 700.2718(1) divides the property into as many equal shares as there are surviving descendants in the generation nearest the designated ancestor that contains a survivor, plus deceased descendants in that generation who left surviving descendants; each survivor there takes one share, and the remaining shares are combined and divided the same way among the surviving descendants of the deceased members. An intestate estate passes to descendants this way (MCL 700.2106).

What does "by representation" mean in a Michigan trust?

For an instrument created or amended on or after April 1, 2000, MCL 700.2718(1) gives "by representation" the same meaning as "per capita at each generation" — the calculator's per capita at each generation column. An amendment that uses either phrase brings the whole instrument under that rule.

What does "per stirpes" mean in a Michigan trust?

MCL 700.2718(2) divides the property into as many equal shares as there are surviving children of the designated ancestor and deceased children who left surviving descendants; each surviving child takes one share, and each deceased child's share is divided the same way among that child's descendants, generation by generation. That is the calculator's strict per stirpes column.

Which distribution rule does my trust use?

The trust instrument's own words decide — a trust may say per stirpes, by representation or per capita at each generation, define its own scheme, or name alternate takers. This page shows each rule's arithmetic; reading a particular instrument against the statute is licensed-attorney work.

Do the three systems always produce different shares?

No — while every child is living they produce identical shares. The rules diverge only after certain deaths, which is exactly when the wording in the instrument starts to matter.

General information about Michigan law, not legal advice.