Do you want a trust that allows you to set those instructions while generally remaining in control of your assets during your lifetime—and provides a plan for managing those assets if you become incapacitated or after your death?
Here are simple Q&As about Revocable Living Trusts that will help you make a decision:
What is a Revocable Living Trust?
A Revocable Living Trust is a legal document that allows you to place and manage your assets in a trust during your lifetime and decide how those assets should be handled after your death.
Why would I need a Revocable Living Trust?
A trust can help your family avoid probate, provide instructions for managing your assets, and make it easier to transfer your property to the people you choose.
Can I change my Revocable Living Trust?
Yes. As the name suggests, a revocable trust can generally be changed or revoked during your lifetime as long as you have the legal capacity to do so.
Do I still control my money and property?
Generally, yes. You can usually serve as the trustee and continue to manage your assets just as you do today.
Does putting my home in a trust mean I no longer own it?
The trust becomes the legal owner of property transferred into it, but you can generally continue to use and control the property according to the terms of the trust.
What happens to my trust when I die?
The person you have named as your successor trustee generally takes over and follows your instructions for managing and distributing the trust assets.
Does a Revocable Living Trust avoid probate?
Assets properly transferred to a revocable living trust generally can pass to beneficiaries without going through probate. Assets that are not properly transferred to the trust may still be subject to probate.
Is a Revocable Living Trust only for wealthy people?
No. People with different levels of wealth use trusts for reasons such as avoiding probate, planning for incapacity, protecting family members, and controlling how and when assets are distributed.
Can a Revocable Living Trust help if I become incapacitated?
It can. If you become unable to manage your affairs, your successor trustee may be able to manage trust assets according to the instructions you’ve established.
Who manages my trust while I am alive?
You can generally serve as your own trustee, allowing you to continue managing the trust assets during your lifetime.
Who will manage my trust after I die?
You choose a successor trustee. This person or institution is responsible for following the instructions in your trust.
Can I name my children as beneficiaries?
Yes. You can generally name children, family members, friends, charities, or other beneficiaries and specify how and when they should receive trust assets.
Do I still need a Will if I have a Revocable Living Trust?
Usually, yes. A complete estate plan often includes both a trust and a Will, along with other documents such as powers of attorney and healthcare directives.
What happens if I don’t put an asset into my trust?
An asset that isn’t properly titled or otherwise arranged to pass through your trust may not be governed by the trust and could potentially go through probate or pass according to another beneficiary designation.
How do I know if a Revocable Living Trust is right for me?
It depends on your family, assets, goals, and circumstances. An estate-planning attorney can review your situation and explain whether a trust makes sense for you. At Tyre Law Group,PC we can help you create an estate plan designed around your family, your assets, and your wishes.
Start your estate plan today. Call us at (626) 858-9378