A Living Trust is considered to be a trust that you can create during your lifetime. A properly funded Living Trust can help you avoid probate, as well as reduce your estate tax liability and setup long term asset management. A Living Trust is suitable for individuals who have complicated personal or financial circumstances, such as a substantial amount of assets, a blended family, closely held financial interests, and property in other states. Having a Living Trust will help avoid the time consuming and costly effects of probate and allows your Trustee(s) to carry out your desires. A Living Trust can also be an effective tool for single individuals, assuming that an individual’s desires cannot be carried out through other means such as beneficiary designations.
There can be some benefits to a Living Trust that you will want to consider in order to decide if a Living Trust is right for you and your family. One benefit of a Living Trust is it helps you to avoid probate. Since a Living Trust helps you avoid probate, this means that your assets can be distributed to your family and loved ones a lot faster according to the language in your trust. Another benefit of a Living Trust is that it can save your estate money at the time of your death since the distribution of your assets will not be going through the probate process. A Living Trust may hold up better in court if someone comes forward and decides to contest your Living Trust. Contact an estate planner to find out what the best options are for you and your family.