A trust is may be a smart estate planning instrument for anyone who meets one (or more) of the following criteria:
- If you are married and have a net worth that exceeds $5,250,000.00 (inclusive of your insurance death benefit);
- If you are the owner, or part-owner, of a business;
- If you are re-married, separated, divorced, or are in a blended family;
- If you have any heirs with special needs;
- If you have any minor children for whom you are financially responsible;
- If you have recently established residency in the State of Florida;
- If you, like many people, would simply like to avoid the process of probate, which could be somewhat costly and time-consuming.
- If you own property, other than that which is exempted by the Homestead privilege;
- If you require any form of asset protection planning for minor children;
- If you would like to have an inheritance passed on to a child in staggered payments over a number of years, as opposed to in one lump-sum payout;
I've Often Heard People Mention Revocable Living Trusts. What Are They & Should I Have One?
The most crucial component to remember when it comes to these types of trusts is that they can be changed, amended, revised, altered, or otherwise tweaked, in any manner you see fit at any time. A revocable living trust is a binding legal document, just like a will, that specifies how you would like your assets distributed upon your death. However, a revocable living trust differs from a will in two critical aspects. First, revocable living trusts are not subject to probate. And second, with revocable living trusts, the court normally does not take control your assets should you become incapacitated. This is possible because the creation of a living trust transfers assets from an individual's name to the name of the trust, which would be controlled by you while you are able to control it, and by your successor trustee if you become incapacitated, without the necessity or cost of court intervention and appointment of a guardian.