When you are making your estate plan or your asset protection plan, you may need to decide if you should create a revocable living trust. There are lots of misconceptions about what a revocable living trust can do for you or who should create this type of trust so it is important to work with an experienced attorney to understand what the purpose of this trust type is and why you may want to create one.
Mark S. Eghrari & Associates, PLLC can help you to determine if a revocable living trust is right for you and can guide you through the process of trust creation. We can work closely with you to identify your goals and determine if a trust can help you to achieve them. If creating a trust is right for you, we will help you with the process including making a legally valid trust document. To find out more about how our firm can help you, give us a call today.
What is the Purpose of a Revocable Living Trust?
There are actually several different purposes of creating a revocable living trust, so there is not just one reason why you may decide that creating this type of trust is right for you. Some of the purposes of creating a revocable living trust include:
- Protecting assets in case of incapacity: If you become incapacitated, the assets held within your revocable living trust can be managed by your backup trustee once you’re unable to manage them on your own. This means that there will not be a delay during which no one has authority to manage assets while your loved ones go to court to get a guardian or conservator named. You can also choose who the backup trustee will be that gets the authority to manage your assets, rather than having the court decide for you on who should be named guardian or conservator and put in charge of managing your wealth.
- Allowing your heirs or beneficiaries to avoid the probate process: The probate process is a time consuming and costly process. It can take around a year for the probate process to be completed and it can cost around three percent to seven percent of the value of the estate. When assets have to pass through probate, a court record is also created which means that details about the transfer of wealth can become public. If you want your heirs or beneficiaries to inherit more quickly, inherit more money by avoiding probate costs, and protect their privacy, a living trust can accomplish these goals. Assets held within the revocable living trust can pass through the trust administration process instead of probate, which is a significant advantage and is one of many key reasons why creating a revocable living trust can make sense.
There may also be other advantages associated with creating a trust depending upon the specifics of your personal, family, and financial situation. Getting personalized advice about trust creation is important to determine which tools are best for you, so you should reach out to Mark S. Eghrari & Associates, PLLC when you begin thinking about making plans for the future.
Getting Help from a Trust Lawyer
A trust lawyer at Mark S. Eghrari & Associates, PLLC will work with you to understand the purpose of different trust types and to create a trust that helps you to accomplish your estate planning goals. We can also provide personalized one-on-one advice as you identify other legal tools that you can use in order to accomplish your objectives.
To find out more about how our firm can help you with creating a trust and with protecting yourself, your family, and your assets, join us for a free seminar. If you are ready to get personalized advice and begin the trust creation process, give us a call at (631) 265-0599 or contact us online today.