What is a Trust?
At its core, a Trust is an estate planning tool that allows you to transfer your assets out of your name during your lifetime, and into the Trust where it will be managed and maintained pursuant to your wishes during your life, and beyond.
Depending on the type of Trust that is appropriate for your estate planning needs, you may experience the following benefits from proper planning and execution, among many others:
Avoidance of probate. When properly prepared and carefully put into action, a Trust can offer the immense benefit of completely avoiding the need to probate your estate. By avoiding probate, your estate will benefit from reduced time and expense associated with probating your assets, as well as increased privacy by avoiding the filing of a probate inventory report.
Limitless Distribution Options. A Trust allows you the ultimate in flexibility for putting terms and conditions on how your assets are used and distributed after your death, allowing you to leverage advanced planning techniques to the benefit of your loved ones and causes you support.
Reduced Tax Liability. Depending on the particulars of your situation, it may be possible to reduce or even eliminate estate and gift taxes through the implementation of various types of Trusts.
Asset Protection. With appropriate language, it is possible to shield your assets from your descendants creditors, divorcing spouses, etc. Without a Trust, inheritance may pass directly to your descendants and become immediately subject to the claims of third parties.
No two estate plans are identical, and each come with individual pros and cons. Give us a call to discuss the particular advantages your estate and loved ones could benefit from with proper planning.