Are you thinking about putting together a living trust and have already done a little bit of internet research to figure out why a living trust might make more sense for you than an irrevocable trust?
Sitting down with a Pasadena estate planning lawyer can help you to walk through the stages of setting up a living trust and what you can expect if you go this route. There are many different types of objectives that might lead you to your attorney’s office to discuss putting together a living trust, including:
- Outlining enforcement provision, such as a spendthrift clause, a no-contest clause and governing law provisions.
- Determining which of your heirs receive assets at death. A living trust has the flexibility to allow for delayed distribution and to give your beneficiaries some protection against creditor claims.
- Avoiding probate, which is one of the most common reasons that a California resident is interested in a living trust to start with.
- Avoid a conservatorship hearing. Together with your power of attorney document, you as the client can determine which person will step in to manage your assets if you become incapacitated as well as how those assets will be managed. This can save you thousands of dollars in administrative and court costs.
- Provide incentives to beneficiaries, such as the conditions or milestones that must be achieved before a beneficiary is entitled to receive a distribution. This is very common for parents to want to see, for example, that their children graduate from college.
Sit down with your Pasadena estate planning lawyer today to talk more. Given that there are so many different kinds of trusts, you want to make sure you’ve selected something that really works for you and your family.