Have you ever wondered how your property or funds will be deployed upon your demise or if you suffer a major disability? A lot actually depends on whether you have in place a legitimate testament, trust, or key estate-planning documentation.
Take action so that when you pass away your wishes are honored. Contact an estate planning attorney Sun City AZ.
What Is a Trust?
A trust is a legal document in which property is legally held by a third party, such as a bank, for the benefit of one or more other people, often the heirs of someone who has become recently deceased or incapacitated. A trust is initiated by a person so that their wishes will be carried out and not mandated by the state or a court. Trusts can be set up for a variety of reasons, most commonly to manage investments for beneficiaries, for the purposes of charitable giving, and to hold assets as part of planning for business succession. Once constructed, a trust is a legally binding document, although it can be amended as long as the person who set it up is living in has full faculties.
Types of Trusts to Consider
Common forms of trusts that may be appropriate for your needs include the following:
- Living Trust
- Special-Needs Trust
- Charitable Trusts
- Asset Protection Trusts, and
- Testamentary Trusts
You will need to work with a qualified attorney to set a trust up. Before you do, make sure you know as precisely as possible what your intentions are regarding your property and assets. Then, be sure to collect key details and information. When working with a lawyer, the trust will be registered with the Internal Revenue Service and administered in accordance with the guidelines set up within the trust document. You will also have to transfer your assets and property into the trust.