Trust funding is one of the most important steps when creating a trust, yet it is also one of the most misunderstood and poorly implemented. While planning one’s estate, a trust is often created to avoid probate. Probate is the public, often costly and time-consuming court process after you die to ensure your debts are paid and your assets are distributed accordingly. All of the careful planning to provide for loved ones after your death, and thoughtful consideration put into how your assets are to be distributed will be for nothing if you do not fund your trust properly. Continue Reading →
Tag Archives | trusts
With so many different types of trusts out there, each with it’s own purpose, it’s easy to become overwhelmed. Regardless of what the trust is called, each and every one of them has the same, somewhat simple concept behind it – an arrangement whereby one person agrees to hold property for the benefit of another. Continue Reading →
A living trust is an estate planning tool that can provide many benefits. When you “fund” a revocable living trust, you make the trust the new owner of property that you are “conveying” or placing into it. This involves changing the ownership registration, and itemizing the property in the trust declaration or on a separate document called a “schedule”. Continue Reading →
While needing to meet specific legal requirements to be effective, a pour-over will is a very useful estate planning tool. Pour-over wills are designed to work hand-in-hand with a revocable living trust. Here’s a look at how they work together… Continue Reading →
In this particular type of trust, QTIP stands for “Qualified Terminable Interest Property”. It is a beneficial type of trust, especially for couples who want to leave property to each other, while saving as much as they can on estate taxes.
A QTIP Trust is an Irrevocable Trust
All trusts can either be revocable (subject to change) or irrevocable. A QTIP Trust is irrevocable and used most often when leaving property to a surviving spouse, who will then leave that same property to their beneficiaries. Continue Reading →