Protect your family and assets with a trust
A Trust Isn’t For Everyone, But It May Be For You
While you may think trusts are only for the extremely wealthy, they are a great legal tool for managing and protecting your assets. Our trust attorneys help you through the process of creating a trust that will best protect your family and your assets. If you are interested in the protection and tax savings of specialized trusts for retirement accounts or education funds, TrustCounsel’s experienced team can guide you and make certain your assets and beneficiaries are protected.
Revocable Living Trusts
Revocable living trusts are popular estate planning tools for transferring assets at death. There are many advantages to creating a revocable living trust, first being probate avoidance. What is probate?
Probate involves time and cost. To avoid both of these hiccups, you can transfer assets during your lifetime to a revocable living trust. Doing so reduces the likelihood of time-consuming and costly probate administration.
When a person dies and the probate process starts, the will is filed and becomes public record. Revocable living trusts are not subject to that process. This means your assets, beneficiaries, and distributions remain private.
Revocable living trusts are also a way to provide for your assets and care in the event you become incapacitated and unable to care for yourself. Your successor trustee will manage the trust to ensure you have properly managed assets, holding them for your benefit.
Speed is another great benefit of revocable living trusts. Immediately upon your death, your trustee has the authority to manage the trust assets and distribute accordingly. This further avoids the time-consuming and costly nature of probate administration.
People are often concerned by the name of irrevocable trusts. Yet, despite the name, irrevocable trusts can often be modified.
Irrevocable trusts share benefits with revocable trusts. Irrevocable trusts avoid probate, keep your asset and beneficiary information private, and create exceptional speed of distribution. A major advantage of an irrevocable trust is that your assets do not count toward the total value of your estate for estate tax purposes. This happens because you no longer own your assets as an individual – the trust owns the assets. When you die, those assets are property of the irrevocable trust and are not subject to estate taxes. TrustCounsel attorneys can ensure your irrevocable trust is set up correctly to protect your assets and beneficiaries.
Domestic Asset Protection Trusts
In some states, a domestic asset protection trust (DAPT) can offer protection from creditors. DAPTs are irrevocable trusts that permit the settlor of the trust to be a discretionary beneficiary. While DAPTs protect trust assets from creditors, they are of no use if not funded with assets such as cash, business assets, real estate, and securities.
Irrevocable Life Insurance Trusts
Did you know the IRS will calculate life insurance policies in the value of your estate? This can increase the value of your estate such that it will be subject to estate tax. But you can avoid this with an irrevocable life insurance trust, commonly called an ILIT.
When purchasing or modifying a life insurance policy, you name the ILIT as the sole beneficiary. The ILIT then provides for distribution of the proceeds of the life insurance policy as you deem appropriate.
This process is seemingly simple but it requires the knowledge and skill of an attorney with decades of experience. TrustCounsel can help you setup your ILIT today.
Special Needs Trusts
Special Needs Trusts, commonly called SNT’s, are trusts set up specifically for the benefit of a disabled person. A trustee is appointed to manage and distribute the assets of the trust, taking into consideration the life needs of the beneficiary. SNT’s are established for many reasons and are an efficient way to make certain your disabled loved one is properly cared for both during and after your lifetime. Let TrustCounsel’s experts guide you in setting up and managing your SNT.