By David Baron
Trusts are very beneficial for estate owners to create. They leave you with peace of mind that your family will be able to inherit your estate. There’s different trusts available today. Each are beneficial to estate planning, income taxes, and for protecting your assets.
What is a Trust?
The trust is the written agreement that contains rules for the allotment of property to the beneficiaries. A trust is used to protect your assets from the government or immediate family members who you do not want to inherit the land.
A trust has specific benefits why people use them often. Besides allotting property to specific people you identify in the trust, other benefits include reducing taxes and preventing probate.
Living Revocable Trust
A living revocable trust has many benefits that include avoiding probate, reduction in taxes, asset management. It initiates a person who can manage the property and assets in the case that you, the grantor, is unable to do so.
The person who is initiated is called a trustee. They can allocate the assets and estate according to your wishes, as indicated in the trust.
Forms of Trusts
There’s two forms of trusts called revocable and irrevocable.
The irrevocable trusts cannot be revoked in terms of giving away property. Once you determine who receives an asset and give it to them, they are not held liable to give it back.
A revocable trust is one where you can take back ownership of the property. If there are creditors, for instance, who are trying to claim the asset to pay off a debt, this is possible.
How to Secure a Trust for Your Family
To have the right trust created for your estate and family, call one of our San Diego estate planning attorneys. We will have a consultation with you to find out the details of your estate and discuss your options.