Who Needs a Living Trust?
A short answer to this question is that if you have substantial assets, it may be in your best interests to set up a living trust. That said, the question is not really quite as simple as that. A trust can be a great asset for some people, but for others it could mean an unnecessary cost that does nothing to help. A College Station estate lawyer can assess your needs and help you determine whether a living trust is suited to your needs.
Who Does Not Need a Living Trust?
Some people simply would not benefit from a living trust. For instance, a married couple with no children and few assets who would like their estate left to the surviving spouse would not be served well by spending the money on a living trust. The same can be said for those with very simple estates.
Do I Need a Living Trust?
If you have substantial assets and want to make sure they go to specific individuals, a living trust may be right for you. A living trust affords you greater flexibility than many other types of trusts, and enables you retain access to it while you are alive. Indeed, you can name yourself the trustee, and then stipulate a successor trustee in case you die or become incapacitated. In the latter circumstance, a living trust can be used to help you with medical bills. Once you die, the remainder that is left in the trust goes to your heirs.
What Are the Advantages of a Living Trust?
A living trust's most basic purpose is to place assets out of reach of probate. Probate court can be expensive and unnecessarily hinder distribution of assets upon your death. Here are some other advantages:
- As mentioned, if you become incapacitated, the living trust can help you because its assets can be used for your care.
- Having a living trust might also save money in the long run. Probate for large estates can be very expensive.
- The living trust keeps everything private. No one needs to know what is in the trust or who it benefits.
- In very few cases, there may be a possible tax savings.
- The trust can help protect real estate assets, especially those you own in another state.
If You Are Considering a Living Trust
A College Station estate attorney will discuss your needs with you and help you decide whether a living trust or other estate planning tool is appropriate for you. Call Peterson Law Group today at 979-703-7014 or 936-337-4681.