A family trust might be a very good thing for you and you should consider doing it. In case you have plenty of assets and you are concerned that after you pass they won’t be shared or handled properly this aid will help you.
There have been several cases throughout the years where family members were disunited because inheritances and estates weren’t properly managed after the relative passed away.
What is a family trust and who needs it?
A family trust is a paper in which it is specified how an individual wants his or her assets to be taken care of by their family after their passing.
This legally ensures you that the belongings you leave behind will be handled the way you wanted to.
Families with lots of assets should consider starting a family trust and those with family members that have disabilities. It is very important for those households to start a special needs trust.
It will put everything in place and the financial and legal details will be handled to your specifications.
Let’s take a deeper look into the meaning and what exactly is used for:
• It passes down your financial and physical assets to your family members;
• If you have a family member who has special needs and requires appropriate care, the family trust allows them to still benefit from governmental programs and you will take care of the family financial affairs and decisions for them;
• In case you are sued, your assets will be protected from the creditors;
• Your assets are also safe from creditors in case they are subject to probate;
• Once the grantor of the trust passes the taxes on the estate will be smaller.
How do I start a family trust and how much does it cost?
Set up a meeting with an estate planning attorney and he will find suitable options for your trust. A trust is estimated at around $1,000-$1,500.
However if you decide later to create a wider estate plan be prepared to pay some more.
If you can’t afford the fees, use an online service which allows you to build your own trust or turn to a Legal Aid Office.
We know it implies hard work and it can be very exhausting and demanding however doing this will be extremely beneficial for your family.