Authored by: Samir Dahman
If you’re considering creating a trust, you have several options. One is whether the trust should be revocable or not. There are advantages and disadvantages to both, but revocable trusts offer some distinct benefits that many people prefer. Here is one reason to think about a revocable trust:
Asset management for ill and minors: With a revocable trust, the assets allocated to loved ones who are elderly, disabled, or minors can be administered via the trust without guardianship of the estate. This means the assets are not directly given to these individuals or their guardians immediately after your passing, but rather parceled out as you choose and can be set aside for specific purposes (education, long-term health care, etc.).This is different from a will which would give a lump sum of money to incapacitated people or their guardians upon death of the settlor. With a trust you can assure that minors don’t get their benefits until they reach an age you determine to be suitable. Also beneficiaries or their guardians don’t have to be responsible for large amounts of money.
Obviously there is much more to consider when setting up a trust and each individual’s situation may differ. These general benefits are a good starting point to understanding the complex nature of estate planning. Please contact the attorneys at KJK to set up a time to discuss any questions you have about your estate plan.