Many people who are first exploring the estate planning process believe that trusts are only for those with a large estate and many assets. While a trust can benefit large estates, the truth is that trusts are beneficial for all estate sizes. Even if you have relatively few assets, trusts can help you avoid probate, give instructions for incapacity, and protect your beneficiaries. Many people choose to establish a trust even with a limited estate because a trust can do more than a will can. When you work with the experienced estate planning team at The Millman Law Group, you can discover how trusts help you reduce expenses, maintain your privacy, and protect your heirs and assets.
Place Assets in a Trust to Avoid Probate
People will commonly choose to use a trust over a will to pass down assets because assets in a trust do not need to pass through probate. What does this mean? Instead of the probate court verifying that the assets were distributed according to the will, the trustee will have the power to distribute assets without the court’s involvement.
Avoiding probate makes a challenging time much easier for loved ones because they no longer have to worry about this time-consuming and costly process. Trusts are beneficial for also keeping your assets private and out of the public record.
Trusts Can Give Instructions for Incapacity
When a will is executed before the testator dies, the will has no legal significance until they pass. This means a will does not name someone to make decisions on your behalf if you become incapacitated through stroke, coma, or other sudden injuries.
When you use a trust, you can name someone to take over your trust for you in the event of incapacity while you still live. You can also designate how that person or a panel of people will determine if you are incapacitated to the point that you can no longer manage your trust.
Trusts Protect Your Beneficiaries
When a gift is made in a will, that gift is typically made outright, meaning there are no limitations on that gift. This might seem like a great option to your beneficiaries, but it doesn’t protect what you have left to them if they get divorced, file for bankruptcy, or are sued.
Trusts, however, can be set up so that anything you leave to your beneficiaries is protected from factors like divorce, bankruptcy, or lawsuits. Even if you don’t have many assets to pass on, it is essential to keep those assets within the possession of your beneficiaries instead of a creditor or ex-spouse.
For these reasons and more, trusts are beneficial to any estate. Contact The Millman Law Group today to learn more about planning for and protecting your assets.
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.