Tips for Naming Your Living Trust

You know that you want to set up a living trust and have already established a relationship with an experienced estate planning attorney to help you get there.

Your living trust enables you to transfer property to the charities and people of your choice without having them go through the probate court supervised process. A trust avoids probate because the assets that are named inside the trust are not actually part of your estate but are owned by the trust.

When it comes to naming a trust, there are a couple of important things to keep in mind. In order for a trust to formally and legally hold property, whether it’s a business interest, brokerage account, a home or something else, the trust must also be identifiable. Its formal name is what is used to identify the trust.

You do not have to use your full family name to identify a living trust. The default is to use the family name or the person you’re hoping to honor through the trust, but this depends on your comfort level around privacy.

You may be concerned about privacy issues as well or a name might feel too long so you can always enlist the help of your experienced estate planning attorney to help you do it. When you name a trust, the name you choose for the actual title of the trust will be in the title of each asset inside the trust. The name of the trustee of that trust will be on the title of the trust assets.

People also often choose to shorten the name of the trust, such as the X family trust rather than the full name to allow for ease and greater levels of privacy. Schedule a consultation with a Plymouth, MI estate planning attorney who has extensive experience in creating and managing trusts so that you have peace of mind about your choice.

 

Are Living Trusts Only for the Wealthy?

All too often, people miss out on valuable estate planning opportunities because they fall for myths that they heard from someone once or did not properly investigate.

The only reliable source for estate planning information is an experienced estate planning lawyer who has a track record of assisting people with the proper structure of their individual plans.

One common myth that prevents people from putting together a trust that would otherwise help them and their beneficiaries is the concept that living trusts are only for wealthy people. This is the most widely believed misperception about living trusts and is completely inaccurate.

Although many wealthy individuals set up trusts, this doesn’t mean that they are an estate planning option that only makes sense for the rich. Instead, many individuals and middle class families find that there are numerous benefits to using a living trust that could complement their other estate planning.

A living trust enables the grantor to retain control over the trust property until he or she passes away. At that point in time the trust is turned over to the successor trustee who was selected by the grantor and is responsible for distributing trust property, according to the grantor’s individual wishes.

There are numerous benefits to having a living trust as part of your overall estate plan, such as easy distribution of your assets to your beneficiaries, avoiding probate, and additional privacy. Furthermore, a living trust ensures that the wishes outlined in their estate planning are followed to the letter. A knowledgeable estate planning lawyer can help you to draft this important document.