If your children have special needs or are minors, a trust is a powerful way to provide for them in your estate plan while also protecting their interests and setting very specific guidelines for asset distribution. This gives you more control over the distribution of your assets and gives you peace of mind that if something should happen to you, your beneficiaries will be supported.
There are different types of trusts available to you in the estate planning process and it is valuable to talk to an experienced attorney to discuss which ones are best suited to your individual needs.
The two primary types of trusts are a revocable trust and an irrevocable trust. Revocable trusts are also known as living trusts that state what happens to your assets in the event of your death. You would be able to control all assets placed in your living trust over your lifetime and can make updates and changes as needed. You can also avoid the expensive and lengthy probate process by having someone else manage the assets if you become incapacitated or pass away.
An irrevocable trust, on the other hand, cannot be changed. It comes in many different forms and can offer asset protection and significant tax savings when structured appropriately. An irrevocable trust is often a good choice for a large estate. To understand all of the different components associated with selecting the right trust for your planning purposes, talk to an experienced Pasadena estate planning lawyer now.
