Living trusts are something you might have heard of but aren’t aware of or you’re contemplating applying to your advantage or both Here’s a brief explanation of the definition of a living trust and the reasons you might benefit from using the benefits of a Living Trust to your advantage.
Living Trust Explained
Living Trusts are intended to safeguard your assets throughout your life and also ensure that your estate will be handed over completely to your beneficiaries when you’ve passed away. Although this might not seem as different from an actual Will to you right now it is, and you’d be right They are written in a like the format of a Will. You can lay out the things you would like to be done to your estate the same manner as you would in Wills in a living trust.
There is however a difference between them in the execution of each. A Will is only valid after you’ve died and probate is granted. It is a Living Trust comes into effect when you die. It can happen immediately or after certain conditions are met before it takes effect.
Your assets , just like any other property and investments, along with your cash, go into trust. after you are ready to sign the Living Trust comes into effect it will transfer the assets in the hands of the trustees to administer your Living Will. You will still be able to reside in your home and you could receive a payout as a result of the Living Trust that you decide to use to pay the cost of living.
This type of arrangement could be extremely beneficial not just you, but also for your beneficiaries.
The Benefits of a Living Trust
First of all the first thing, it is important to note that a Living Trust allows the process of probate to be obliterated by your estate after you pass away. The drawback is that probate is very time-consuming which can take up to six months or years to complete. If you do not have to file for probate or receive an Grant of the courts The Living Trust can be executed quickly in order for your beneficiaries to get their inheritance quickly.
But, depending according to the conditions of your Living Trust, your beneficiaries aren’t required to wait until they are deceased in order to get their inheritance. They may receive it prior to the time you die, meaning you’ll be able to have your beneficiaries benefit from your estateand eliminate the fear that your loved ones have been waiting around for your death.
In other words you can dictate the terms of the trust at the time beneficiaries are able to receive their inheritance. This could be at an early stage or set for a time following your death, i.e. when a grandchild attends university, they get their inheritance, or when someone is 18 and receives the inheritance portion.
The trustee’s powers are restricted by the powers that you give them. Even if you suffer from an illness such as Alzheimer’s or dementia you’ve already established all the necessary arrangements for your family members and yourself , with trustees who will manage everything on behalf of you. No one can alter your arrangements, ensuring that you are in the complete control.
If you decide to marry again If you were to remarry, your Trust will still guarantee that your assets were distributed to the original beneficiaries, not to your new spouse, which gives those who inherit your trust peace of assurance.
Contact us today for assistance to assist you in setting up the Living Trust now.
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