To the average person, legal terms sound foreign. Intimidating. We get that.
Don’t let legal jargon stop you from establishing a revocable trust. The benefits are too great to ignore.
Steve, one of our younger clients, found out the hard way. His father passed unexpectedly, several years before retirement. With no trust in place, the resolution of the estate was a long, expensive process. Steve now enjoys peace of mind, having completed a comprehensive plan for his own family.
A revocable trust is the backbone of a solid estate plan. Because it’s unfamiliar to many, we offer six simple points about revocable trusts.
You get to maintain control
You avoid the hassle of probate
If you’re incapacitated, a trusted party steps in
Minor and disabled beneficiaries get specific protection
A revocable trust is practical for the average family
A revocable trust keeps things civilized
#1 You’re in Control – Change What You Want
Let’s dispel a common myth about revocable trusts. You’re not locked into or out of anything. It’s not like you’re setting anything in concrete.
You’ll enjoy the same freedom and control you’ve always had. Your trust quietly protects your interests while offering peace of mind. You control the assets you buy, sell, and manage. Taxes are filed just the same as before.
Your revocable trust is exactly that. Revocable. Change your mind? Big, new direction in life? No worries. With your attorney’s help you can simply modify the trust or hit the delete button.
#2 You Get to Avoid Probate
Probate. To some it’s an unpleasant word. It refers to the court and the process used to administer a deceased person’s estate when they pass without a trust in place. Sometimes taking two years or more, it can be a painful endeavor.
Typically, an attorney needs to be retained to work through the probate court process. Because a lot of time and attention is required, the bill can be quite high. Instead, establish a robust estate plan now. Your loved ones will thank you.
#3 A Trusted Confidante Steps in if You Become Incapacitated
You don’t have a crystal ball. Neither do we. We can’t predict or determine our future. We can, however, establish a great contingency plan. A robust estate plan takes into account life’s possibilities, both the beautiful and the difficult.
We don’t like thinking about our own possible crisis. But it happens. A thirty-year-old suffers brain damage from a serious accident. An eighty-year-old suffers from dementia. In either case, a person can no longer manage their own affairs.
Decisions still need to be made about your assets and your health. Who do you want making those decisions? A close family member? A trusted friend? If you don’t document your wishes in advance, the court decides for you. Most people don’t want that.
#4 Minor and Disabled Beneficiaries Get Protection
Few minors can handle the responsibility of a sudden cash infusion. They shouldn’t have to. Through a revocable trust, you can specify when, how, and under what conditions children, grandchildren, or others you specify will enjoy their inheritance.
Beneficiaries with disabilities or special needs are a special concern. Through a revocable trust, you can make provision for them, without compromising their ability to qualify for certain government benefits.
#5 A Trust Isn’t Just for the Wealthy
A trust isn’t just for high-net-worth individuals. Quite the contrary. Most of our clients are families of average means and assets. In fact, a revocable trust protects precious, however meager, assets from unwanted expenses.
Think of it this way. A trust isn’t about foundations, country clubs, and vast sums of wealth. It’s about protecting your hard-earned assets. It documents your specific wishes, guards your family’s interests, and saves your loved ones a good deal of expense and difficulty.
#6 A Revocable Trust Keeps Things Civilized
Some families enjoy great relationships. Kind. Considerate. Unselfish. We all know it doesn’t always play out that way, especially when a member passes or becomes disabled. Hugs and handshakes evaporate when an estate is up for grabs without a plan. Sometimes the conflict looks like a reality show gone bad.
A trust solves some of those problems. Nothing can be done to control peoples’ sentiments. But clear instructions have a way of taming the unruly. Infighting is avoided because your trust speaks for you, leaving no room for speculation.
How can we help your family?
You’re never too young to make a robust estate plan. Your future can be neither predicted or controlled. We can, however, create a trust that protects your wishes and your assets. Our greatest reward is helping clients execute those plans and seeing the resulting peace of mind. Start your plan today. Your family will thank you.
Call us at 636-428-3344 to learn more or schedule a free appointment.
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