Revocable Trusts, also called Living Will or Living Trust is similar to a Will, in that it assigns who will eventually get your assets, but with the major distinction that it makes these designations while you are still living (hence the name Living Will) … whereas, your Will only takes effect once you have passed.
Revocable Trusts are “Living” documents and only exist as enforceable contracts while the Grantor is still alive. All trusts end at death, at which time the “Upon Death” clause in the Trust typically dictates what happens with the decedent’s assets. This clause along with a “Catch All” Will play a major role in the smooth transfer of your assets to the named beneficiaries.
All too often, I have reviewed ‘boiler plate’ Trusts that were prepared by firms ofttimes referred to as ‘Trust Mills’ – in which the “Upon Death” clause of the Trust was either too generic or not aligned with the bequests listed in the Will. This can create unnecessary complications. Remember: Using a Trust should make transitions easier, not harder… so it’s important to choose an Estate Planner with this understanding and an eye on the details!
Contact me to discuss further how a Trust might be beneficial to you!
You must be logged in to post a comment.