A revocable living trust is a document that allows you to transfer ownership of your property to a separate entity. This can have significant advantages, including planning for incapacitation and the ability of your heirs to recover their inheritance without the cost of probate court.
If you are considering revocable living trusts in Coral Gables, you may benefit from a discussion with legal counsel. This approach has its benefits, but only when you carefully follow the guidelines as outlined under the law. Let a local trusts attorney advise you on how to accomplish your goals.
As the name suggests, this type of trust can be modified or terminated at any time. The owner retains total control, able to swap out beneficiaries or remove assets from the trust without giving a reason.
The revocable living trust becomes the formal owner of any property transferred to it. However, the trustee, who is normally the creator of the trust, has access and control over these assets, which can continue to produce income for the creator.
There are numerous reasons for an individual in Coral Gables to consider setting up a revocable living trust. The chief among these is the ability to avoid the probate, which can be costly and take years to resolve. Instead of waiting for the court system to move at a glacial pace, a trust will privately transfer ownership of the estate to the named beneficiaries.
Not only does this avoid the lengthy delays common with the court system, but it also offers a measure of privacy for the surviving heirs. Probate involves formal court proceedings, and the awards made to the beneficiaries are part of the public record. This can lead to the unwanted disclosure of asset ownership and allows prying eyes to see the details of private matters. A living trust does not need court supervision, meaning the details will not be aired in public court proceedings.
Not all the benefits of a living trust are related to a person’s death. When the trust creator becomes incapacitated, the trustee can manage the assets and ensure they are provided for. This is often done in conjunction with a living will.
To provide beneficiaries with an inheritance, a creator must fund their revocable trust. This can be done in a number of ways. Many people rely on bank accounts to fund their trust, either by transferring ownership directly or naming the trust as the beneficiary of a payable-on-death account.
Trusts can also contain more complex assets, like real estate. A transfer is as simple as creating a quitclaim deed in favor of the trusts and filing in the proper jurisdiction. Other options for funding them include the following:
As part of the estate plan, another essential document is a “pour-over will” that ensures any property not titled directly in the trust will end up in the trust after the creator’s passing, although probate will not be avoided.
There are certainly benefits for implementing a revocable living trust in Coral Gables. However, there are several important considerations to think about, including how you intend to fund it. You can learn about your options when you call Veliz & Associates, P.A. and speak to a professional who has worked in the Coral Gables area for years.
We evaluate your case and determine how we might be able to help.
We will meet with you to discuss your next options and lay out a plan.
Our team guides you throughout the process so you feel confident about your choices.
(305) 250-9917