If you have been thinking about creating an estate plan for your family in case something happens to you, the good news is that it is never too late—until it is. The truth is that none of us knows what the future holds or when we will no longer be able to care for our loved ones. Though we may never want to think about the possibility of our own demise, the reality is that it will happen to all of us. Given this certainty, wouldn’t it be better to plan ahead and protect the people you care about than to let them deal with the emotional and financial consequences of not planning? Making a plan for the future well-being of people you love is one of the most selfless things you can do for them.
The best time to make that plan is now, and the best way to get started is by contacting our Glendale trust lawyers at KEYTLaw. To get your estate plan started, make a free, no-obligation office, phone or Zoom video meeting to get answers to your questions and design a custom estate plan.
What Is a Trust?
A trust is a legal arrangement that allows you, the grantor, to transfer ownership of your property to a third party, the trustee, who in turn holds the property for the benefit of those you name in the trust, or beneficiaries. The trustee manages the property for the benefit of the beneficiaries according to the terms of the trust, as you have set forth.
The Benefits of Establishing a Trust
Trusts offer many advantages that other estate planning tools cannot. Here are some of the main ones:
- They can help your family avoid the time, expense, and stress of probate court. Your estate can be settled quickly and easily without the delay and expense of going to court, or hiring an attorney.
- A trust can provide valuable benefits such as estate tax savings and protection from creditors. By transferring ownership of the property to the trustee, it is no longer considered part of your estate, offering added security for your family.
- Finally, trusts can help you protect your assets for your family and ensure that they are passed down to your intended heirs, as you have directed. You can specify how you want your assets to be divided among your heirs, under what conditions, and for what purpose. Trusts offer tremendous flexibility and control over the distribution of your estate.
Basic Types of Trusts
There is a wide variety of trusts, each with its own specific purpose and objectives. These include charitable trusts, special needs trusts, conditional trusts, and more. If you need a trust to fit your specific situation, our Glendale trust lawyers can help you select one that best meets your needs. Regardless of the type you select, all trusts can be classified as either irrevocable or revocable.
Revocable Trusts: A revocable trust allows you to amend or revoke it at any time before your death. Because life circumstances change, a revocable trust can be changed to meet your current needs. Virtually every type of trust can be created as a revocable trust, and virtually any change can be made to a revocable trust at any time, such as adding or removing beneficiaries, changing the trustee, or changing the trust's terms.
The advantage of a revocable trust is the flexibility it provides. The primary disadvantage of a revocable trust, however, is that, because the trust is revocable, the assets are technically still in your name, and thus subject to attack from your creditors.
Irrevocable Trusts: An irrevocable trust is a trust that cannot be changed once it is created. The terms stipulated in the trust must be thought out carefully in advance, because once the trust is created, it cannot be changed.
This is a disadvantage, especially if your life circumstances change after the trust is created. The main advantage of an irrevocable trust is that the assets are not subject to your creditors. If the trust is properly drafted, the trust assets will be protected from creditors and lawsuits. The later on in life that you create a trust, the less likely it is that your life circumstances will change or your trust will need to be altered, so an irrevocable trust will be a better option.
Trust KEYTLaw’s Experienced Glendale Trust Lawyers With Your Estate Planning Needs
When it comes to creating a trust, our Glendale trust lawyers at KEYTLaw can help you choose the right option for you and your family. We will take the time to meet with you, discuss the benefits of each type of trust, and help you create a trust that is best for your situation. We have been helping families in Arizona with their trust and estate planning needs for more than 23 years, and we can help you too!
We make the process of creating a trust easy, and we will take the time to answer all of your questions. We believe in being upfront and honest with our clients about every aspect of creating a trust, including the cost. The initial call is free, at which time we can discuss any questions or concerns you may have about the process, and explain how we can help. We are confident in our ability to provide you with the highest quality of legal services at a reasonable cost. Book a free office, phone or Zoom video meeting with one of our estate planning attorneys to get answers to your questions and design a custom estate plan.