Living Trust Planning

Benefits of a living trust.

Living trust planning.

A living trust could have some advantages for you over other ways to manage your estate. Trusts can be arranged in may ways and can specify exactly how and when the assets pass to the beneficiaries. The trust becomes the owner of. A living trust is most appropriate for individuals who have complex financial or personal circumstances such as substantial assets a blended family closely held business interests or property in other states.

What is a living trust. A living trust is a legal document that just like a will contains your instructions for what you want to happen to your assets when you die. A trust is an arrangement under which one person called a trustee holds legal title to property for another person called a beneficiary. You as the grantor transfer your assets into the trust.

A trust is a fiduciary arrangement that allows a third party or trustee to hold assets on behalf of a beneficiary or beneficiaries. In addition to being one of several ways to avoid probate the legal process to determine whether a will is valid living trusts may offer before death and. Among other estate planning tools the revocable living trust is gaining in popularity especially among boomers. A living trust designates a trustee to manage assets for the beneficiary while the grantor is still alive.

Trustees with fiduciary duty manage trusts according to the beneficiary s best interests. A living trust is an option for estate planning that can be very attractive. Revocable trusts commonly called living trusts are an effective estate planning tool for avoiding the costs and hassles of probate preserving privacy and preparing your estate for ease of. During your lifetime the assets are held by the trust.

Here are the benefits. Living trusts are available from estate planning attorneys off the shelf software and online resources such as nolo. Saves time and money in the probate process a living trust names a trustee who can immediately take care of your end of life affairs like paying for funeral costs and distributing property to heirs without having to wait on the probate judge. After your death the assets are distributed to your beneficiaries according to your wishes and on any schedule you choose.

You cannot do this with a will however you can also make a durable power of attorney to appoint someone to manage your finances. But unlike a will a living trust can avoid probate at death control all of your assets and prevent the court from controlling your assets if you become incapacitated. In a living trust you can name your spouse partner child or other trusted person to have authority over trust property if you become incapacitated and unable to manage your own affairs.