Revocable Living Trusts: What They Are and How They Work
Your important decisions deserve sound, competent legal advice.
Do you want to avoid attorney fees and delays in the distribution of your estate after death?
One of the most common reasons for creating a revocable living trust is to avoid the delay and expense of the probate process. A properly drafted revocable living trust is a powerful estate planning tool that allows you to remain in control of your assets during your lifetime, have them managed during incapacity, and privately and efficiently (upon your death) transfer your assets according to your wishes to your loved ones. We advise you to consult with a qualified attorney at our law firm to assess your specific needs.
What’s in a name?
The term “revocable” means that you can make changes to your revocable living trust or even terminate it at any given time. As long as you are mentally competent, you can change or dissolve the revocable living trust at any time for any reason. The revocable living trust becomes irrevocable (which means it cannot be changed) when you die. The trust is called a “living trust” because your assets are transferred into your trust during your lifetime.
Advantages of a Revocable Living Trust.
A revocable living trust saves your family time and money by avoiding probate after your death and keeps your estate plan private. It also provides the ability to include a comprehensive disability plan that can specify how your mental incapacity should be determined, who will be able to manage your assets should you become incapacitated, and defines how you should be taken care of should you become physically or mentally disabled.
Avoid court involvement.
A revocable living trust allows for the immediate transfer of assets after death or management of the trust assets upon disability without court interference. Otherwise, a family member or friend may have to go to court to have a guardian appointed to manage your assets. A revocable living trust allows for the management of your affairs in case of incapacity, without the need of an expensive guardianship or conservatorship process. A properly funded revocable living trust assures there is no need to undergo a potentially expensive and time consuming probate process and provides your loved ones with the ability to administer the estate privately, and in an efficient and more affordable manner.