Trusts are legal entities that can hold assets for a specific beneficiary or purpose. To create a trust, a written document is prepared and signed by the grantor, and assets are transferred to the trust by re-titling them in the name of the trust. Trusts can have various purposes, with the exception of an illegal purpose, and can have almost any rule or type of beneficiary imaginable.
There are two primary types of trusts, living trusts and testamentary trusts. Living trusts are established and funded during the grantor’s lifetime, while testamentary trusts are created and funded after the grantor’s death, typically through a will.
In estate planning, trusts are primarily used for asset protection, probate avoidance, special needs beneficiaries, and tax minimization. A trust is most commonly used to provide for individuals with special needs or minors who will inherit money from an estate. It is crucial to consult an estate planning attorney before giving money to someone with special needs to ensure that they do not lose their government benefits.
Trusts can be an effective estate planning tool, but they are not always necessary. Many people believe that they need a trust, even though a simple will may achieve their estate planning goals at a lower cost.
At our firm, we specialize in helping clients determine the most appropriate estate planning tools to achieve their objectives. We provide comprehensive estate planning services that include but are not limited to:
- Establishing living trusts
- Drafting testamentary trusts
- Asset protection planning
- Probate avoidance planning
- Special needs planning
- Tax minimization planning
We take a personalized approach to each client’s estate planning needs, taking the time to understand their unique circumstances and goals. Our team of experienced attorneys will help you navigate the complex world of estate planning and create a plan that meets your specific needs and objectives. Contact us today to schedule a free consultation and start planning for your future.