Some people feel that they do not need a trust because they don’t have a large estate. They feel it is far too expensive to bother with and don’t need to have any extravagant planning. Many times they feel it is far too complicated to bother with and too much of a hassle. The following will tell you why we need a trust and the benefits.
A trust is a legal document that states that you can legally transfer your property and personal assets to family members or loved ones at the time of your death. You are still in full control of all of your property and assets, but in the event of your death, or if you are incapacitated, it will be passed over to someone that you have named as a successor to take care of the distribution and arrangement of your assets. Since all of your possessions are in a trust, there is nothing that requires probate. This is done without going through the difficult process of probate and this is a good reason why we need a trust.
Here are reasons why we need a trust?
• When you have a trust this will help in avoiding probate. A trust saves large amounts of money in probate costs, and attorney charges. This will allow that the predominant amount of the estate go to the beneficiaries that you have named.
• It allows you to be in control. If you pass away or become incapacitated, your affairs will be handled exactly what your wishes had been. During your life span of having the trust, you can still change properties, beneficiaries, buy or sell assets. This makes you in control.
• It takes much less time. There are no court delays and instead of it being tied up in the court system for months and even years, it can be settled within a few weeks upon your death.
• Why we need a trust allows privacy. If you become ill or have an accident and become incapacitated, it will be kept private amongst just the family. There is no need to place announcements in the newspaper notifying creditors to file claims, discontented relatives or anyone to contest the will. Your beneficiaries will be kept private if you do not want them to be made public.
• It is not expensive to have a trust. A trust is more expensive then a will but because there is the elimination of probate, the cost of settling your estate is much less in the long run.
• There is low maintenance to a trust. When your trust is created and set up there are very few changes, unless you wish to change the people that will inherit your estate or other specific details that you choose to change.
• Why we need a trust allows you to have chosen individuals, associations or a company that you can leave certain gifts to them. It could be an organization that you want to leave money to or certain individuals that you want to leave a personal item such as jewelry or an heirloom. You can always change it without altering the trust.
5 Nov
