Are you privy to this living trust information? Read on to see if you and your family have all the trust protections you can have. Here are 9 living trust secrets revealed.
- You can minimize or eliminate federal estate taxes by using a credit shelter (i.e. AB trust) within your living trust.
- You can provide asset protection for your spouse and childrens inheritance by creating lifetime trust shares within your own living trust.
- You can avoid court interference into your financial affairs and having your assets frozen if you have strong disability language in your living trust and your trust is funded.
- You can avoid probate by using a fully funded living trust.
- You dont have to disinherit a spendthrift, addicted, disabled, or minor beneficiary if you plan with a trust.
- If youre married and include a tax plan in your living trust, a significant portion of your legal fees to set up the trust are tax deductible.
- Your trust is not a magic book, you must name trustees (and contingent trustees) to carry out your instructions.
- Your trust needs to be updated every three to five years (or sooner if you experience a significant life event such as a new child, divorce, marriage, or move to a new state.)
- You maintain control of your assets with a living trust.
If any of these 9 living trust secrets are a surprise to you and you dont have an up-to-date trust in place, consult with a qualified estate planning attorney.