When you create a trust, you can prepare a more secure estate plan.
Estate planners often hear the question, “do I need a Trust?” This is because many people mistakenly believe that only the very wealthy can utilize Trusts or that their Will can do the same things their Trust can do. In reality, Trusts can help everyone and offer unique estate planning benefits that Wills cannot provide. Creating a Trust is one of the best ways to prepare for your future. When you create a Trust for your estate plan, you have more control over how your assets are distributed after your death. If you want to learn more about Trusts, keep reading and reach out to your estate planning lawyer at The Millman Law Group to determine your best plan.
Keep Your Estate Private with Trusts
When your assets are transferred to beneficiaries through a Will, your Will becomes public record after passing through your state’s probate court. Probate can call for costly legal fees and be subject to delays, so many families prefer to avoid it. Additionally, many people don’t feel comfortable having their estate become public record. If you create a Trust for your estate plan, your assets will be transferred directly to the Trust while you are alive and passed directly to the beneficiaries after your death. This method keeps your estate private and out of the courts.
Appoint a Trustee You Can Rely On
A Trustee can be an individual, bank, organization, or financial institution. The Trustee has the legal responsibility to put the interest of the Trust above all else and execute all directives established by the Grantor. When you create a Trust, naming a Trustee is a serious consideration. Many people also choose their estate’s executor or personal representative, but you should always discuss the position with the person first. You can also appoint a professional Trustee, for instance, your estate planning lawyer. This person has experience managing Trusts and has no personal connection that may interfere with their responsibilities.
The Two Significant Types of Trusts
There are many different types of Trusts, each suitable for various purposes. However, the two most significant types of Trusts are Revocable and Irrevocable.
- Revocable Trusts: Can be changed or canceled at any time by the Grantor. Revocable Trusts allow you to add, use, or remove assets and any revenue generated by the assets in the Trust become taxable as income to the Grantor.
- Irrevocable Trusts: These Trusts cannot be changed without the permission of the beneficiaries. However, this Trust has some tax benefits, which is why this type is often handy for more complex estates.
When Should You Create a Trust?
If you have inherited or accumulated new assets or accounts, now is an excellent time to create a Trust for your estate plan. Or, if you simply want to ensure that you create the most seamless transfer of assets for your beneficiaries, you should create a Trust. Your experienced estate planning lawyer can help you find the best Trust for your needs.
Estate Planning Made Easy With Millman Law Group
Millman Law Group, PLLC is rare because it’s one of the only law firms that offer life planning in South Florida. From life care planning to the preparation of detailed estate plans, Millman Law Group has committed to serving Floridian elderly communities in Boca Raton, Palm Beach County, Ocean Ridge, Hillsboro Beach, and many other areas since 2018. Our dedicated team also specializes in special needs Trusts and catering to any age demographic because we know for certain it’s never too early to start preparing you and your family for your future. For the latest news in estate planning and elder care law, follow us on Facebook, Twitter, Linked In, and Pinterest. You can also contact us at 561-463-6480.