Is a revocable living trust or a will more appropriate for my family?
This article will help you decide if a revocable living trust is right for you and your family.
A revocable living trust is commonly used in place of a will. There are many reasons families in Rochester, Minnesota come to the estate planning attorneys at Rochford & Langins, LLC. Generally, families want to know whether a will or a trust makes more sense for their family. While there is not a “one size fits all” answer to this question, below we have outlined some of the advantages of a trust versus a will.
Advantages of a Trust versus a Will
- Control during incapacity. The creator (“Settlor”) of a Revocable Living Trust is able to control their assets during their lifetime, during incapacity and after death.
- Probate Avoidance. In most instances, by properly titling property into the name of your Revocable Living Trust, your family will be able to avoid the unnecessary burden and expense of probate upon your death.
- Reduced chance of litigation. A Will only takes effect after death. A Revocable Living Trust becomes effective during your lifetime. Because a trust becomes effective during your lifetime, there is far less chance of surprise upon your death. This means that there are far fewer instances of family disputes, will contests and litigation with trust based estate planning than with will based estate planning.
- Privacy. Unlike a Will, which becomes a public document once filed with the Probate Court, in most instances, a Trust can remain out of the public eye.
- Reduce or eliminate Estate Taxes. A Revocable Living Trust gives your trustee specific instructions as to how your property should be titled upon your death. This allows your estate to reduce or eliminate estate taxes by taking advantage of any allowable State and Federal deductions.
A trust is a rather simple concept. A trust is simply a legal entity established by you, the Settlor, with a Trustee (the person managing the trust property, usually you and/or a spouse during your lifetime) for a beneficiary (usually you during your lifetime, and family, friends or charity after you pass).
By creating a trust you are giving yourself peace of mind, knowing that during your lifetime, whether you are incapacitated or healthy, your assets will be taken care of. You are also giving a gift to your loved ones by providing specific instructions as to how your property should be managed upon your death. Further, with a properly funded trust, you are saving your loved ones the time and anxiety often associated with probate.
The Rochester, Minnesota Estate Planning Attorneys at Rochford & Langins, LLC have helped many families, just like yours, in Rochester, Plainview and throughout the State of Minnesota achieve peace of mind by creating trust based estate plans. Contact a Rochford & Langins, LLC attorney today to discuss your unique situation and to see whether trust based estate planning makes sense for you and your loved ones.