As individuals start estate planning, they often choose to execute a Will to ensure their assets are distributed according to their wishes. While outlining your wishes in a Will allows you to decide how your estate assets are distributed, a Will is a relatively simple option with limited benefits. For this reason, many people ultimately choose to distribute their assets through a trust. If you want to make the best decisions for your assets and heirs, meet with your Millman Law Group attorney to understand how distributing assets through trusts can help you accomplish the following.
You Can Avoid Probate
Probate is the legacy process required after a person’s death. Probating even a simple estate can sometimes take months, and when complex assets are involved, probate can cost your heirs time and money to manage. Additionally, all assets required to pass through probate are inaccessible to the beneficiaries until probate is complete.
This is why probate avoidance is a primary reason why a living trust is used instead of solely a Will when distributing assets. Assets held in a trust are considered “non-probate” assets and bypass probate altogether so they can be distributed at any time according to the terms of that trust.
The possibility of incapacity should always be considered when creating an estate plan. An accident or debilitating illness could result in incapacity at any time. Your Will cannot help you plan for incapacity because the terms of a Will only apply after death. A living trust, however, can be used as an incapacity planning tool by allowing you to appoint yourself as the Trustee and someone you want to take over control of the assets as the Successor Trustee.
Control Over Your Assets
Once a gift is made from your Will, the beneficiary of the gift may do what they wish. However, gifts made using your Will cannot be made in small distributions. When you distribute your assets through a trust, you can distribute assets in small sums over time instead of one large lump sum. The terms of a trust can also dictate what the funds can be used for and which Trustee will manage the assets held in the trust.
Provide for Minors
If you are a parent of children under age 18, you will likely want your assets to be used to provide for your child if something happens to you. Your child, however, cannot legally inherit directly from your estate. A living trust can instead be used to protect your child’s inheritance until they are old enough to receive it directly.
If you want to keep the details of your estate distribution private, you can choose to distribute your assets through a trust. Your Will becomes public information once submitted to the court for probate. The terms of a trust agreement remain private because it does not have to go through probate.
If you are searching for convenient and efficient ways to distribute your assets to your heirs, creating a trust with your estate planning attorney is an excellent way to provide for your loved ones.
Estate Planning Made Easy With Millman Law Group
Millman Law Group, PLLC is rare because it’s one of the only law firms that offer life planning in South Florida. From life care planning to the preparation of detailed estate plans, Millman Law Group has committed to serving Floridian elderly communities in Boca Raton, Palm Beach County, Ocean Ridge, Hillsboro Beach, and many other areas since 2018. Our dedicated team also specializes in special needs Trusts and catering to any age demographic because we know for certain it’s never too early to start preparing you and your family for your future. For the latest news in estate planning and elder care law, follow us on Facebook, Twitter, Linked In, and Pinterest. You can also contact us at 561-463-6480.