04Sep
2017

Top 10 Reasons You Should Have A Living Trust

Top 10 Reasons You Should Have a Trust

As an estate planning attorney in Summit County, Cuyahoga County, Medina County and surrounding areas, we know many reasons why a revocable living trust can be very important. Here are 10 reasons why having a trust can be absolutely critical:

It Saves Money – Probate Avoidance

A trust can help your estate avoid excessive fees, costs and taxes, so more is distributed to your heirs upon your death. County probate courts determine estate costs and executor and attorney fees in probate estates. Although a trust may initially be more expensive than a Will, the avoidance of probate can greatly reduce the total cost of administering an estate.

Faster Settlement Of Your Estate

Probate settlement can take many months or even years. A revocable living trust can be settled much more quickly after your death. The private trust agreement avoids court delays or judicial interference.

Privacy For Your Family

A living trust remains a private family matter after your death. No need for announcements to invite creditors to file claims or contest your trust, or to notify disgruntled relatives.

You Retain Control Of Your Assets

Your trust provides instructions for managing your assets when you die or become incapacitated. While you’re alive and well, you still have full control over your property. You can sell property, change your beneficiaries, your trustee, or even revoke the trust if that’s what you want to do.

Asset Protection For A Surviving Spouse

By including provisions to create an asset protection trust at the death of the first spouse, the surviving spouse’s inheritance can be protected from a future divorce, creditors, predators, and lawsuits.

Asset Protection For Children and Grandchildren

You can set up asset protection trusts for your children in your revocable trust. This gives the children (and grandchildren) the peace of mind that comes with protecting their inherited assets from a future divorcing spouse, a creditor, a predator, or a lawsuit.

Better Disability Planning

If you are unable to manage your own affairs, your trust makes sure that they are managed by whom you want, in the way you want.

Low-Maintenance

Once your trust is thoroughly planned and established, there will probably be few changes made. You can amend your trust when you want to change your beneficiaries or successor trustees, or other details. And with a revocable living trust you do not need a separate tax identification number or file a separate tax return. You still report all of your income on your personal tax return. And there is no need to file anything with any government agency.

Protect Insurance Proceeds From Creditors

If your life insurance beneficiary designation names your trust as the beneficiary, your life insurance proceeds can be protected for your spouse and your children from creditors, predators and future divorcing spouses.

It May Help Reduce Taxes

Special planning built into your revocable living trust may reduce or in some cases even eliminate any estate taxes that could be charged to your family after your death.

Contact us for a risk-free consultation about how a Trust can help you and your family.  Click here for more information about living trusts and estate planning.