You should explore all of your options when you are planning your estate. Some people make assumptions about trusts, and as a result, they overlook viable solutions. Revocable living trusts are actually quite useful for a wide range of people, and you can immediately see the benefits when you understand the facts.
When you have a revocable living trust, you can effectively organize your resources with future asset distributions in mind. You can also account for the possibility of incapacity late in your life.
These trusts facilitate relatively fast and efficient asset transfers outside of the process of probate. However, you do not lose personal control of the assets while you are still alive and of sound mind.
Shared Revocable Living Trust
If you are married, you could create a shared revocable living trust. This could be a good choice if you and your spouse own most of your valuable property together.
The grantor of a revocable living trust can act as the beneficiary and the trustee while he or she is living. If you are married and you are creating a shared revocable living trust with your spouse, you and your spouse could act as co-trustees and co-beneficiaries.
When you are funding the trust you may convey property into it that is not shared property. You could name beneficiaries other than your spouse to inherit these personally held resources. If you predeceased your spouse, your surviving spouse would be the sole trustee of the trust unless a successor was named to assume your role as trustee. Your portion of shared assets would be distributed according to your wishes.
Separate Living Trusts
It is also possible to create two separate revocable living trusts. This would potentially be a better solution if you and your spouse did not share ownership of the majority of your property.
If one spouse dies under these circumstances, the trustee that the decedent named in his or her trust agreement would follow the terms of the trust. The death of one spouse would not impact the trust that is controlled by the other spouse.
Free Report on Revocable Living Trusts
In this post we have provided a bit of basic information. If you have further questions about revocable living trusts, we have a great resource that is available to you free of charge.
Our firm has prepared an in-depth report on the value of revocable living trusts. To obtain access to your copy of the report, click the following link: Revocable Living Trust Report.
Free Estate Planning Consultation
We urge you to download our free report so that you can gain a foundation of information about revocable living trusts. However, if you would rather speak with a licensed estate planning attorney, we would be more than glad to assist you.
You can drop us a line to request a free consultation through our contact page.
Parman & Easterday