A living trust is an estate planning arrangement in which you transfer ownership of a specific property to the trust itself. When you pass away, the property will transfer directly to your designated beneficiary. The majority of living trusts are revocable, which means you’re free to change the terms of the trust. Below are some important things to know about this valuable estate planning tool, including its general advantages, how it differs from a will, and how an attorney helps design one.

Your Guide to Living Trusts

Benefits

There are many reasons to have a living trust. First, a trust will help you avoid the lengthy and often costly probate process, since ownership will transfer from you to your heir without a court's interference. Second, the terms of a living trust remain private, which is helpful if you expect publicity surrounding the execution of your estate. Another advantage of a living trust is that it allows you to put plans in place should you ever become mentally incapacitated. By designating a trustee to manage your legal and financial affairs in the event such support is necessary, you’ll ensure your wishes are respected. Designating a trustee doesn’t impact the transfer of property in the trust itself; that only happens after death.

Differences Between a Will & Living Trust

A will must always go through probate. Probate is a process through which the authenticity of the will is validated, the estate's assets inventoried and distributed, and the legal and financial obligations of the estate finalized. The terms of a will are a matter of public record, meaning anyone can request a copy. Also, in most states, naming a guardian for one's minor children must always be included in a will, while a trust doesn’t address this matter. 

How an Attorney Will Help

An estate planning lawyer understands probate and estate law and how to make them best serve you and your heirs. They’ll review all your property and assets with you to find the best estate planning solutions to suit your needs. They’ll handle the complex paperwork and red tape of drawing up a will, establishing a living trust, and any other arrangements that will provide the most protection for you and your legacy.

Knowing some basics of living trusts will help you decide if this is the right option for you, but it’s best to speak with an attorney for more detailed information. Individuals in Rochester and throughout Monroe County, NY, have trusted the Upstate Legal Center of John V. Shepard for more than 30 years. This firm offers compassionate, thorough assistance in sensitive matters like estate planning, probate law, and bankruptcy matters. Call (585) 429-5422 or visit them online to make an appointment today, and start getting the peace of mind that comes with a living trust.