More Californians than ever have taken an interest in estate planning to protect their family, legacy and valuable assets.
A living trust is an estate planning tool that allows individuals to manage their assets while alive and help ensure a smooth transfer to beneficiaries upon death. Let’s look at how a living trust can strengthen your existing plan.
What is a living trust?
It is a powerful legal document that places your assets into a trust. While you may use the trust assets however you like during your lifetime if you have a revocable living trust, you can also specify how they should be distributed after your death.
An irrevocable living trust works differently. Once established, this trust cannot be altered or revoked, but it can provide certain tax benefits and asset protection.
Exploring both types of living trusts can allow you to choose the best option for your estate planning needs.
Potential benefits of a living trust
Living trusts offer a host of compelling advantages that make them an attractive option for estate planning.
- Assets in a living trust bypass the probate process, saving time and money.
- Living trusts are not public records. This helps ensure that your estate details remain private.
- If you become incapacitated, a living trust allows your trustee to manage your affairs without court intervention.
As you can see, a living trust can complement your existing estate plan, offering security and peace of mind. Having experienced estate planning guidance can help you create a living trust that meets your individual needs and protects your interests.