Creating a DIY living trust is generally not a good idea. In fact, creating any kind of DIY trust is usually not advisable. When you create a do-it-yourself trust, you miss out on the opportunity to get legal advice. Your attorney may have been able to help you to find a better estate planning tool than the trust you are trying to create, which would have accomplished your goals in a more efficient and effective way. An attorney can also help to make certain that the trust will actually … [Read more...] about Are DIY living trusts a good idea?
Trusts are often created in order to provide protection for loved ones, such as a spendthrift trust which ensures that heirs do not squander their inheritance. When you are creating a trust to protect those who matter in your life, don’t forget your pets. A pet trust can help you to ensure that there is money available to provide for the care of your animals after you are gone. Pets can be very expensive and you do not want your animals to be deprived of the care that they may need simply … [Read more...] about Why do you need a pet trust?
There are different kinds of trusts that could be created. A revocable trust is one type of trust. A revocable trust gives you flexibility over trust assets during the course of your life while allowing you to still arrange the transfer of those assets outside of the probate process. However, there are limits to a revocable trust. First, just because the assets are able to be transferred outside of the formal probate process does not mean the assets are not counted as part of your taxable … [Read more...] about What are the limits of revocable trusts?
When deciding between wills and trusts for securing your legacy, it is important to realize that trusts are much more versatile than a will and that trusts give you much more control over assets. When you create a last will and testament, you dictate who inherits but you have limited or no ability to protect the assets. Estate tax is a risk and you will not be able to protect heirs or beneficiaries from financial loss if you simply leave them money in a will. Trusts can give you much more … [Read more...] about Are wills or trusts better for securing your legacy?