There are many options when estate planning and a revocable living trust may or may not be a good option for you.
The Motley Fool recently discussed the benefits and drawbacks of revocable living trusts in “Is a Revocable Living Trust Right for You?“.
The biggest benefit of a revocable living trust is that your primary assets, as long as they are transferred into the trust, do not have to go through probate when you pass away. As probate can be an expensive and time-consuming experience, this can make handling your estate much easier for your heirs. Probate is also normally a public process, but if you have a trust you can keep your estate details private. Finally, should you become incapacitated, a successor trustee can take over your finances instead of having to go through court to get a guardian.
On the other hand, trusts can be more expensive to set up than other estate planning instruments, but they might save your estate money in the long run depending on probate costs. Transferring assets into your trust can also be very time-consuming depending on what you own. Having a revocable living trust also does not mean you do not need a will. You will still need a simple will to deal with anything left out of the trust.
Meet with an estate planning attorney to learn about your estate planning needs and if they include a revocable living trust.
Reference: Motley Fool (Sept. 10, 2016) “Is a Revocable Living Trust Right for You?”
For more information on living trusts and estate planning, please visit my estate planning website.
