How it Works
A Revocable Living Trust is a comprehensive estate planning tool that people use to preserve and transfer their wealth and inheritances. One of the greatest benefits of including a Revocable Living Trust in your estate plan is that it can ensure your beneficiaries will avoid the stress, hassle, and expenses that are associated with the probate process.
To begin the process, the Trustmaker transfers the asset “title” to trust, while still keeping full control over the assets in the trust. The Trustmaker then names a “successor trustee” whose job is to take over and mange the trust if the Trustmaker passes away or is ever incapacitated. The trust essentially acts as a funnel that directs the transfer of assets to the named beneficiaries outside of the probate process.
A Revocable Living Trust allows the Trustmaker to make any changes they desire before they pass away. The trust plan can include a marital deduction and remainder trusts to limit estate taxes when the assets are ultimately transferred to the heirs.
Advantages of using a Revocable Living Trust include:
- The court doesn’t have to intervene in your private affairs
- Control of your assets passes seamlessly if you are incapacitated
- There’s no need for Conservatorship proceedings
- Reduces the risk of family disputes and contests
- Simplifies marital estate tax planning
- Flexible and easily amended
- Reduces administrative costs after you pass away
- Creates fewer obstacles to overcome when it’s time to distribute your wealth
- Protects your heirs from creditors and financial predators
If you have more questions about using a Revocable Living Trust or adding one to your estate plan, then please don’t hesitate to reach out to Estate Law Partners, LLC today. To set up a case consultation with one of our reputable lawyers, please call (608) 292-5185 or contact us online.