Taxes can have one of the most significant impacts on your intentions with estate plans. This is especially important as you contemplate incapacity issues. If you no longer are able to manage your financial assets, this brings important questions to the surface about who is responsible for those assets.
Trust planning becomes crucial in this strategy because trusts can be a valuable way to minimize taxes on your estate. Trusts refer to legal arrangements that benefit people or causes you choose down the line. There are several different kinds of trusts available for estate planning purposes, and they vary in terms of how they can be activated. Discussing your personal concerns for trust planning with an experienced estate planning lawyer can help you to determine whether a living trust or an irrevocable trust is most important for you.
A living trust is a transitionary method that assists with incapacity planning, whereas an irrevocable trust means that the creator of the trust relinquishes the right to reclaim any property after the trust has been created. Furthermore, that person does not have the ability to close the trust or to make any amendments or major changes to it. As a result of these complex factors, it is crucial to select the right kind of trust for your estate planning purposes.
Make sure that you consult with an attorney who is highly familiar with these different types of trusts and who can help advise you about the right selection based on your personal goals. If you’re ready to meet with a Virginia Beach, Virginia estate planning lawyer, contact our office today.