Living Trusts
Living trusts can be a savvy form of proper estate planning. They ensure that assets you own are distributed according to your wishes after your death. Although it is possible to create one of these documents without seeking legal advice, it is highly recommended that you use an experienced living trust lawyer to handle the task for you.
Contents of Living Trusts
In order to be recognized in a court of law, living trusts have a number of mandates. Besides naming you as the trust’s grantor, it must identify the person assigned with handling the trust, otherwise known as a trustee. A successor to the current trustee should also be noted. Along with your chosen beneficiaries, it is essential that the document explicitly details your wishes regarding asset distribution.
Requirements of Living Trusts
As soon as they are created and signed, living trusts remain valid until they are replaced. They do not require filing with any legal entity. Different states have unique laws regarding living trusts so make sure yours abides by these variables. Only sign trusts that are typed. Doing so avoids the ambiguity that can arise from different interpretations of penmanship.
Keep instructions as simple as possible; include nothing more than basic information. This is one way of making sure your intentions are properly executed. After the trust is complete, have the named assets transferred to your trust account. If not, the instructions outlined in your living trust will become invalidated.
Advantages of Using an Attorney to Create Living Trusts
Letting an attorney assemble your living trust helps avoid complications. Experts can provide significant assistance, especially when dealing with scenarios such as the following.
- You desire specific distribution thresholds: One example would be requiring a beneficiary to graduate from college before granting collection.
- You are uncertain what to include: A trust lawyer can help determine what should be placed in a trust instead of a will.
- Your beneficiaries have special needs or receive government assistance: These conditions require specific types of living trusts.
- You own a large amount of life insurance: A living trust attorney can craft a trust so that your insurance policy remains free from a large estate tax.
These are just a few situations where using a qualified lawyer can be extremely helpful. Consult with one to uncover more concerns relevant to your circumstances.
A living trust is a fantastic tool for assuring that possessions and financial assets are dispersed as you see fit. Allow our trust lawyer in Belgrade, MT at the Silverman Law Office to write yours and avoid the pitfalls that come with designing one yourself.