What is a Revocable Trust?
One of the most important documents that you will want to include in your estate plan is a revocable trust. In Kansas, a revocable trust is an estate planning document helps you accomplish several estate planning goals. For example, a revocable trust can help your estate beneficiaries avoid the probate process. This is because any assets that are placed inside your revocable trust will pass to the beneficiaries outside of probate. When your assets pass down to your estate’s beneficiaries outside of probate, your estate’s beneficiaries face less stress, save money, and save time. Also, all beneficiaries receive the benefit of privacy. The probate process is made public. Also, another advantage of a revocable trust is to help simplify the process for those who own properties in several states. The probate process would be required in each state where the property is located. However, a revocable trust eliminated the need for probate of property held in other states.
A revocable trust takes effect upon the grantor’s death. In order to incorporate a revocable trust into your Kansas estate plan, you will want to make sure that you name one or more successor trustees. A trustee manages the trust upon your passing. Another advantage of a revocable trusts is the flexibility for the settlor. The settlor may hold and use any of the assets outside of the trust until their death with the knowledge that those assets will flow into the trust upon the event of their death. You can may establish special arrangements that will be granted to charities or entities of your choosing.
Another advantage of a revocable trust is to provide lifelong income streams for your trust’s beneficiaries. You can set up a trust to grant one lump sum gift or you may specify how the assets in the trust will be managed and distributed to the beneficiaries. A your estate planning attorney, I can assist you in understanding what types of distribution strategies would be most beneficial based upon your estate planning needs and goals.
Revocable trusts do provide protection for your assets after your death. However, revocable trusts do not protect against creditors. But a revocable trust can shield assets from divorcing spouses, lawsuits, and creditors of the beneficiaries. However, these protections might only be available when the trust is established and managed properly. For your peace of mind, make sure that you speak with an experienced estate planning attorney when you have decided to set up a revocable trust.
To learn more about revocable trusts and other estate planning documents, call Wichita estate planning attorney J. Joseph Weber today, at 316-265-7802. Alternately, you may contact online for your convenience.