Our Kansas City Estate Planning Lawyers can help you decide if a Living Trust is right for you.
What is a Revocable Living Trust?
A Revocable Living Trust is a written agreement or declaration, much like a Last Will and Testament, used to communicate how you want your estate to be handled. Trusts can be revocable or irrevocable. A revocable trust can be amended or discontinued at any time.
Trustee of Living Trust
In a Revocable Living Trust you will appoint an individual, a bank, or trust company to act as the Trustee. Once your Revocable Living Trust has been formed, you will then transfer your property to the Trust.
Pros of Living Trust
The Trustee has the legal responsibility of managing, investing, and distributing the property as you have requested. Revocable Living Trusts avoid probate, are private, and have possible tax benefits. For example, a Revocable Living Trust does not constitute a gift, so there are no gift tax consequences in setting it up.
Cons of Living Trust
Setting up a Revocable Living Trust can be time-consuming and expensive since it is usually a longer and more complicated document than a Will and assets must be transferred to the Trustee.
Is a Living Trust Right for You?
Should a Revocable Living Trust be part of your estate plan? No simple guidelines exist to answer that question. People with various levels of wealth and in different circumstances may, or may not, find a Revocable Living Trust useful.
Allow the Estate Planning Attorneys at Walden & Pfannenstiel to help you determine the best approach for your individual needs, contact us now.