Designating what will happen with your assets and properties after your death or incapacitation is an important step for anyone, regardless of where they are in life. If you are wondering whether to set up a trust for your loved ones, consider the following benefits as you contemplate.
- Your assets will avoid the probate stage – This is especially beneficial to your loved ones whom you name under the trust. Often, probate can be a costly procedure and it can even potentially drain some funds from the estate itself. Furthermore, avoiding probate gives your trustee immediate access to the funds, which could substantially help them pay for funeral and other necessary costs following your death.
- No need for a guardianship or conservatorship – Guardianships and conservatorships appoint individuals to act on behalf of an incapacitated person. By establishing a trust for assets, you omit the need for a guardianship, and you allow your trustee to manage your assets without the court’s interference.
- Privacy – Probate is usually a public process. When your property and assets go through probate, there is a chance that your loved ones find themselves on the receiving end of public scorn. Setting up a revocable living trust will keep the asset distribution private because trusts are not in public records.
The right trust can protect your assets and those who inherit them. To better understand how a trust—of any kind—may benefit you and your loved ones, consider reaching out to an experienced estate planning attorney.