A living trust is a written legal document through which your assets are placed into a trust for your benefit during your lifetime and then transferred to designated beneficiates at your death by your chosen representative.
Just like a will, a living trust spells out exactly what your desires are with regards to your assets upon your death. The difference is that a will can only be executed upon your death. A living trust, on the other hand can be implemented in cases of death, depreciating health and legal matter. You also need to note that all financial details inside of the trust are confidential upon your death and distributed in private. A will is public record and all transactions will be public as well.
The benefit of a trust is that your heirs can bypass the costly and time consuming process of going through probate, which often means a faster distribution of assets. Don’t get me wrong, drafting a trust will most likely cost more than drafting a will because there are more complex legal documents that are required, but it can be financially beneficial to those with large and complex estate. It’s really not a necessity for people with simple estate plans and young married couples with no children or significant assets.
We’ve all seen the unfortunate family drama when a loved one has died. Oftentimes, this is the result of lack of planning. Save your family time and undo stress by telling them in a legal document exactly how you would like to distribute your assets. Contact The Wealth Syndicate, and we’ll help you get your affairs in order.