Advantages of Securing Your Assets with a Trust in Virginia
A trust is a legal container for assets. Moreover, it is a legal arrangement where you (the grantor) transfer assets to a trustee, who manages these assets on behalf of your beneficiaries. The state of Virginia allows you flexibility in structuring your trust. An individual can serve as the trustee of their own trust, maintaining control over the assets during their lifetime. Trusts can either be revocable or irrevocable (changeable or permanent), and each serves unique estate planning goals.
Avoiding probate in the case of your death
A trust allows you to bypass the probate process in the event of your death. When you pass away, assets held within the trust can be managed and distributed directly to your beneficiaries without the court becoming involved. This allows your loved ones to receive their inheritances quickly and with less hassle.
Protecting your privacy
Anything that passes through the court is a matter of public record. However, trusts do not pass through the court. Instead, assets held within the trust are distributed directly to your heirs. In Virginia, probate records are accessible to the public, so if you only have a will, the public will have access to the property that passed through probate. With a trust, you can keep these matters confidential. Generally speaking, trusts offer a greater degree of privacy than wills.
Flexibility in planning your estate
Trusts offer you the flexibility necessary to handle complex family situations such as blended families. Trusts also allow you to set conditions on inheritances. You can customize your estate plan to fit any unique circumstance you want. For instance, you could ensure that both your current spouse and children from a previous marriage are taken care of if you should pass.
One of the major benefits of trusts is that they allow you to set conditions for inheritances. This can be particularly useful if you have concerns about a beneficiary’s financial responsibility. For instance, you can structure the trust to distribute funds when a beneficiary reaches a certain age milestone or achieves specific life goals.
Asset protection
A trust can allow you to protect your assets from creditors or lawsuits. You never know when you’re going to face an unexpected financial challenge. A trust can serve as a powerful shield, helping to safeguard your wealth and your future for your loved ones.
Once assets are placed into an irrevocable trust, those assets are no longer considered your personal property. This means that creditors cannot reach them if they were to file a lawsuit against you. Asset protection trusts are particularly useful for individuals in certain professions. These include doctors, lawyers, and business owners. Our Virginia Beach estate planning attorneys can help advise you on the best way to manage your assets during financial hardship.
Talk to a Virginia Beach estate planning attorney today
The Law Office of Angela N. Manz represents the interests of Virginia Beach residents who are looking to modify or draft an estate plan. Call our Virginia Beach estate planning lawyers today to schedule a consultation.
