Revocable Living Trusts Attorney in NY & NC 

Revocable Living Trusts: A Flexible Estate Planning Option

Trusts are an important estate planning tool that can be used in place of a will. A trust is an arrangement in which a trustee holds property for the benefit of another person, known as a beneficiary. Trusts are often used in estate planning because they allow property to be distributed in a more flexible manner than a will. In some cases, a trust can even be used to avoid estate taxes.

Revocable trusts are trusts that can be changed or revoked by the person who created the trust. Revocable trusts are the most common type of trust used in estate planning because they allow the trustmaker to make changes to their trust as their needs change. Revocable living trusts are particularly useful in situations where there are minor children involved, since the trustmaker can change the terms of their trust to provide for their children's inheritance needs as they grow older.

Contact our firm today at (914) 228-7448 to speak with a living trust lawyer near you about creating a revocable living trust.

Understanding Living Trusts: How They Function

A living trust works very similarly to a will. When a person dies, the executor of their will distributes their assets according to the instructions in their will. However, a living trust is designed to avoid this process. The assets in a living trust are held by the trustee for the benefit of the trust's beneficiaries. When the trustmaker dies, the trustee distributes the assets in the trust according to the terms of the trust agreement.

Trusts are particularly useful in situations where a person has minor children or other dependents who need financial support after they die. A trust can be designed to provide for the beneficiaries' needs over time, without requiring an executor to distribute large sums of money at once. A trust can also be designed to avoid estate taxes, since the assets in a trust are not counted as part of the trustmaker's taxable estate.

Top Advantages of Using a Revocable Living Trust

There are several benefits to using a revocable living trust in place of a will. One of the most important benefits of a revocable living trust is that it allows the trustmaker to make changes to their trust as their needs change. If a trustmaker becomes disabled or if their beneficiary's needs change, they can change the terms of their trust without involving an attorney.

The benefits of a revocable living trust include:

• Flexibility to change the terms of the trust
• Ability to designate different trustees for different parts of the trust
• Ability to designate successor trustees
• Ability to add or remove beneficiaries
• Ability to revoke the trust
• Ability to change the location of the trust
• Ability to change the trustee
• Ability to change the assets that are included in the trust
• Ability to change the terms of the trust
• Ability to change the way the trust distributes assets

Why a Living Trust Could Be Your Best Estate Planning Strategy

There are many benefits to creating a living trust in place of a will. A living trust can be changed as the trustmaker's needs change, and it can be revoked at any time. A trust can be designed to provide for the beneficiaries' needs over time, without requiring an executor to distribute large sums of money at once. A trust can also be designed to avoid estate taxes, since the assets in a trust are not counted as part of the trustmaker's taxable estate.

The benefits of a living trust include:

• Ability to change the terms of the trust
• Ability to revoke the trust
• Ability to change the location of the trust
• Ability to change the trustee
• Ability to change the assets that are included in the trust
• Ability to change the terms of the trust
• Ability to change the way the trust distributes assets

Related Readings:

• 5 Differences Between Irrevocable and Revocable Living Trusts

Discover How a Revocable Living Trust Can Secure Your Legacy - Call (914) 228-7448 Today To Speak With a Revocable Living Trust Attorney Near You.

FAQs About Revocable Living Trusts in New York

How is a revocable living trust different from a will?

While both tools dictate how assets are distributed after death, a living trust avoids probate and remains private, whereas a will must go through the probate process and becomes public record.

Can I still control my assets if they’re in a living trust?

Yes. As the grantor and trustee, you maintain full control over your assets during your lifetime.

What happens if I don’t fund my trust?

If you don’t transfer assets into the trust, those assets may still go through probate. Funding your trust is a crucial step in making it effective.

Can I name myself as the trustee?

Yes, you can serve as the initial trustee and designate a successor trustee to take over upon your incapacity or death.

Does a revocable living trust provide creditor protection?

Generally, assets in a revocable living trust are not protected from creditors during your lifetime. For asset protection, an irrevocable trust may be a better option.

Is a living trust expensive to set up?

While the upfront cost may be higher than drafting a will, the long-term savings from avoiding probate can make it a cost-effective solution.