A living trust can avoid probate and ensure that your assets will pass to the beneficiaries you choose, and in the manner that you want.
A trust can be a fundamental part of planning for the future. Trusts can help people avoid probate, unnecessary taxes, put their wealth to use in exactly the way they wish, accumulate assets for retirement or their beneficiaries, and much more.
For example, a living trust is a legal agreement under which a trustee manages certain assets for one’s benefit or for the benefit of another person(s) during your lifetime. A living trust has become popular for many reasons.
Management of Your Assets
A living trust can facilitate management of a person’s assets in the event of his or her incapacity. Since assets held in the name of the trust are free from probate, there is nothing to probate (the probate process can consume as much as 10% of your estate).
Control Over Trust Assets
You can place just about any type of property in a living trust, and either withdraw or reinvest all of the income generated by trust assets during your lifetime. Since a living trust is a private agreement, information concerning the contents remains private.
Flexibility for Those with Special Needs
The flexibility of a living trust makes it ideal for a wide range of individuals, including those who have dependents with special needs, are marrying for the second time, or who want to provide effective pre-nuptial protection for their children.
Assets Pass to Beneficiaries Promptly
Everyone needs estate planning even if there won’t be any federal estate taxes due. While planning is often motivated by taxes, it also involves planning to provide for the protection and control over the disposition of assets. A living trust can avoid probate. A properly designed estate plan ensures that your assets will pass to the beneficiaries you choose, and in the manner that you want.
If you have any issues or areas of concern regarding your estate-planning objectives, please feel free to give us a call.