It depends on the terms of the discretionary trust - most modern trusts include related companies and trusts within the general beneficiary class. If this is the case, and subject to the trust deed, so long as the estate had beneficiaries who were also beneficiaries of the discretionary trust, that should be fine.Sometimes the trustee also has the power to nominate beneficiaries under the terms of the deed.

Another thing - there can be taxation issues that need to be thought about, in particular whether a family trust election is necessary and if so, who should be nominated as the test individuals for each of the estate and the family discretionary trust (see Schedule 2F Income Tax Assessment Act 1936).

Consult a lawyer on point - preferably the lawyer drafting the Willmaker's Will or administering the deceased estate tosee whetherthe terms of thetrust deed and Wills allow forthe estate to be included as a relatedtrust.