UNDERSTANDING LIVING TRUSTS…
Advanced estate planning today can give you peace of mind – knowing that if something catastrophic were to happen to you, your family would be protected by your property being distributed according to your wishes. The Schaller Law Firm can give you peace of mind by drafting a revocable living trust.
WHO NEEDS A LIVING TRUST?
In addition to avoiding probate, a living trust significantly benefits individuals who have been divorced, have a special needs child, a fiscally irresponsible child, or who desire to lower their estate taxes. Here’s an explanation of these benefits:
- Divorce: For individuals who have been divorced, a living trust can offer several advantages. First, it allows them to retain control over the distribution of their assets and ensures that their ex-spouse does not inherit or have access to their estate. The trust can be structured to provide for the financial needs of any children from the marriage while protecting assets from potential claims by the ex-spouse. Additionally, a living trust can help avoid probate, ensuring a smooth and efficient transfer of assets to intended beneficiaries.
- Special Needs Child: A living trust is a valuable tool for families with a special needs child. By creating a special needs trust within the living trust, parents can provide for the ongoing financial needs of their child without jeopardizing their eligibility for government benefits. The trust can be used to supplement government assistance, covering additional expenses related to the child’s care, education, and quality of life. It ensures that the child’s inheritance is managed properly and used to enhance their well-being without disqualifying them from crucial support programs.
- Fiscally Irresponsible Child: If you have a child who struggles with managing money or has a history of financial irresponsibility, a living trust can protect their inheritance. By placing assets in a trust, you can appoint a responsible trustee who will oversee the distribution of funds according to your instructions. The trustee can manage the assets on behalf of the child, providing necessary oversight and ensuring that the funds are used wisely and in the best interest of the child. This protects the child from squandering the inheritance and provides them with ongoing support and financial guidance.
- Lower Estate Taxes: A living trust can be structured in a way that helps minimize estate taxes. By utilizing various estate planning strategies, such as creating irrevocable trusts or utilizing marital and charitable deductions, the taxable value of the estate can be reduced. This can result in significant tax savings for the individual and their beneficiaries, allowing more assets to be passed on to loved ones rather than being lost to estate taxes. Properly structured living trusts can help preserve wealth and ensure a more efficient transfer of assets.
Take the Next Step …
The Schaller Law Firm drafts the revocable living trust, and any other estate planning documents requested.
Attorney Schaller reviews the draft estate planning documents with you and makes any necessary changes. Then, your estate planning documents are signed, witnessed, and notarized.
You keep your original revocable living trust in a safe place, like a lockable metal box or drawer in your home, safe-deposit box, or other place you store valuable papers and jewelry. A copy can be retained by the Schaller Law Firm for safe keeping.
Celebrate knowing your estate planning documents are completed. Enjoy the peace of mind knowing your wishes will be implemented.
Complicated? You bet.
You should have an estate planning attorney on your side. Tap into Attorney Schaller’s 37+ years of legal experience. He wrote the book on client satisfaction.
FREE consultation! Start protecting yourself and your family with a complete estate plan. Call to schedule your appointment, request an appointment through the Contact Us page, or book an appointment with the convenient online booking system.