Living trusts are an important aspect of your estate plan.
A trust can best be described as an arrangement between two people, where one person holds property, funds, or assets for another person, under the terms designated by the trustee or property owner.
The person who benefits from the trust is referred to as the beneficiary.
The term, living trust, is used because the trustee created the trust while he or she was still alive. Many trustees find that there are many advantages to using living trusts, as the trustee will gain many tax advantages from this arrangement.
Also, the trustee is in full control of the trust until the beneficiary receives the property, funds, or other assets.
It’s important to understand the nature of living trusts as well as the benefits, advantages, and disadvantages of choosing a trust.
The best way to determine if living trusts are best for your estate planning needs is to meet with an experienced wills and estate attorney who will be able to assess your financial planning goals and offer the best solution for your needs.
There are many advantages to using living trusts as you can avoid paying many taxes, and your benefits will have the advantages of having access to your trust while you are still alive, and will be able to avoid going through probate court after your death, to receive the assets.
By working with your attorney, you can easily create living trusts that cover all of your transfers of property.
Your attorney will be able to ensure that your trust is handled in the proper legal manner and that all required paperwork is completed according to the terms specified by current law.