A living trust provides lifetime and after-death property management. If you are serving as your own trustee, the trust instrument will provide for a success or upon your death or incapacity. Court intervention is not required. Livings trusts also are used to manage property. If a person is disabled by accident or illness, the successor trustee can manage the trust property. As a result, the expense, publicity, and inconvenience of court-supervised distribution of your estate can be avoided
If a living trust is properly written and funded you can:
- Avoid probate on your assets.
- Plan for the possibility of your own incapacity.
- Control what happens to your property after you are gone.
- Use it for any size estate and
- Prevent your financial affairs from becoming a matter of public record.
While a trust sounds appealing, there are drawbacks. A living trust is more expensive to set up than a typical will because it must be actively managed after it is created. Most importantly, however, a living trust is useless unless it is funded. A living trust only can control those assets that have been placed into it. If your assets have not been transferred or if you die without funding the trust, the trust will be of no benefit as your estate will still be subject to probate and there may be significant estate tax issues.
You want to make sure your property goes to the right people, at the right time and at the least cost. A living trust can do all this. Living trusts helps you manage and distribute your property efficiently without court interference.
To learn how a consultation may assist you click here.