Should A Trust Be Part Of Your Estate Planning?
No one knows what the future holds, which is why it’s important to get the advice of an estate planning attorney when it’s time to put your affairs in order. For example, a trust administration lawyer Las Vegas can help you reduce your tax obligations or avoid probate. There are two basic types of trusts and many ways of structuring them to suit your situation. You don’t need to have a large bank account or a vast estate to benefit, either.
Two Kinds of Trusts
The two main designations for a trust are living or testamentary, which means a trust that goes into play after your death. Trusts can be revocable, meaning you keep control of your assets and can change the terms of the trust. You can also create an irrevocable trust, meaning that someone else, called a trustee, oversees and manages the assets. Trustees are usually lawyers or financial services providers, but you can designate any person you want to administer a trust on your own or a beneficiary’s behalf.
Although the are many possible variables and goals, trusts enable you to:
* Transfer assets to an heir while reducing tax liability
* Make sure that someone trustworthy is in place to oversee your estate should you become incapacitated
* Protect your assets from creditors
* Provide for minor children or an adult child with special needs
* Set up a college fund for your child, protege, grandchild, or the child of a sibling
The Need for a Trust
You don’t need to be wealthy to establish a trust. There are many situations where it might be beneficial, and that requires an individualized approach. Here are a few situations when you could benefit from this option:
* You have an expectation of becoming incapacitated in some way
* You have a child or spouse with special medical or care needs
* You expect your income or business to grow substantially
* You want to limit your financial risk or liabilities
You want to make sure that all of your legal bases are covered when it comes to protecting your family and assets. It’s never too soon to get your affairs in order. Talk to a qualified trust lawyer about your situation today.
