When creating an estate plan, it’s important to understand every option that is available to you.
It’s common to believe that a will is the only thing you need in order to complete your estate plan. While this may be something that is perfect for you and your family, you don’t want to assume that it’s your only option (or the best approach).
For example, you may come to find that some type of trust would be in your best interest. By discussing this with your Baraboo estate planning attorney, you can better understand what a trust can do for you and your family.
Let’s take a basic look at some of the top benefits associated with a living trust:
It Avoids Probate
Are you concerned that your estate will have to pass through probate upon your death? Are you worried that this will cost your family a lot of time and money?
If you find yourself thinking in this manner, you should learn more about a living trust. With this, unlike a will, your estate will not go through probate. As a result, your loved ones can avoid a big hassle, as well as the time and money associated with the process.
It Saves You Money
Many people overlook the fact that a trust can save them money. Here’s why: they have heard that it costs more upfront to create a trust than a will.
While this is correct, a trust is meant to save your estate money at the time of your death. So, if you are concerned about the financial well being of your family, a trust may make more sense than a will.
It Provides a High Level of Privacy
Are you a private person? Do you enjoy keeping things to yourself? Are you worried that this will all go out the window when you pass on?
If these fears continue to bother you, a trust can help put your mind at ease.
Did you know that a will is public record? In other words, once you pass on, anyone and everyone can learn more about your assets and how they were distributed.
With a trust, however, you don’t have to concern yourself with this. Instead, it provides a high level of privacy, as it’s not made public upon your death.
Simply put, if privacy is important to you, a trust is a must. You can’t afford to rely on a will.
What About Other Types of Trusts?
There are other types of trusts that may come into play at some point. For example, you may need to create a special needs trust. With this, you can make decisions now that will benefit a loved one with special needs in the future.
Here is what we have to say about this on our website:
“A Special Needs Trust allows a parent, grandparent or guardian to provide funds for a child with a disability without disrupting the child’s eligibility for government aid. Setting one up is a fairly simple process.”
Some of the things that you want to think about when creating a special needs trust include:
- Who should be the guardian of your child
- Make a decision in regards to who should act as the trustee
- Create instructions for your child’s personal needs, emotional needs, housing, and education
With a special needs trust, you can feel much better about the future well being of your loved one.
With so many types of trusts to consider and so many questions to answer, it’s never a bad idea to consult with a Baraboo estate planning attorney.
By taking this approach, you’ll soon realize that there are many things you can do to better your situation. Furthermore, you can lean on the experience and knowledge of your legal team to ensure that you’re on the right track.
If you need to consult with a Baraboo estate planning attorney, you’ve come to the right place. Reach out today and we’ll be sure to take care of you.
- The Toll of Serving as Fiduciary - May 11, 2022
- Just When You Thought You Understood the 10-Year Rule, Think Again - May 5, 2022
- Business Succession Planning May Be Easier than You Think - May 2, 2022