If you haven't created a living trust, now's the time to take care of that paperwork. You might think that a will provides all the protection you need, but that's not the case. A will does designate how you want your estate to get divided up. But, if you want to go beyond that, you need to create a living trust. Read the information provided here. You'll find four important reasons to create a living trust.
Maintain the Privacy of the Estate
If you want to keep the contents of your estate private, the best thing you can do is create a living trust. One of the problems with wills is that the contents are made public as soon as you pass away. That means that anyone can claim the right to public access to see what your will contains. Unfortunately, that puts your estate at risk from bill collectors, and anyone who wants to lay claim to your estate. With a living trust, all information remains private and confidential.
Safeguard Minor Children
If you have young children that you want to take care of, you need a living trust. This is especially true if you plan to leave a large sum of money for your children. A living trust protects the money until your children are old enough to assume responsibility for the funds. Luckily, you can choose that age. A living trust also ensures that someone else can't take control of your children's money. A living trust prevents anyone else from accessing the funds unless you make specific provisions in the trust.
Alleviate the Tax Burden
If you want to take care of your family, now's the time to talk to an attorney about creating a living trust. One of the issues surrounding a will is that your assets are taxed. Unfortunately, the IRS can take a big chunk out of your estate. That's why you need to create a living trust. Once your estate becomes part of a living trust, it's protected against estate taxes.
Give Yourself Access
If you want to continue having access to your estate, one of the best things you can do is create a living trust. One of the benefits of establishing a living trust is that you continue to have access to your assets. Once you pass away, the living trust kicks in, and all your assets are protected under the plan. Best of all, your estate stays out of probate court.
Contact an attorney in your area to learn more about living trusts.