Life is always changing. Many parents do not have the time to constantly rewrite their will after every new acquisition, as their children age or when new people enter their family. It is easy to forget to make the changes, and the mistakes could make the probate process difficult if someone dies unexpectedly. Concerns like these are why many people now choose to set up a revocable living trust.
Privacy and Convenience
The ability to adapt the trust to add property or beneficiaries makes it a convenient estate planning method. The person that sets up the document can change the terms at any time or do away with it entirely without losing any of their assets. A trust is also a private matter, unlike a will. Trusts do not go through the probate process and are not a matter of public record like a will.
Security and Reassurance
People can choose someone to act as their successor as a trustee if they become unable to manage their own estate due to illness or injury. The successor can pay medical and household bills for the owner of the trust until their health improves. If the owner of the trust has children, they can also use the trust to protect any inheritance for minor-aged children. The trust distributes funds for the care of the children until they reach adulthood and take over their own financial matters.
Complete and Efficient
Will and trusts work together well and help to ensure all assets have a designated recipient. A provision in a will known as a pour-over can add any overlooked property to the trust at the time of the owner’s death. The provision prevents battles between the heirs of the estate for ownership of overlooked items.
A trust costs a little more to prepare than a will, but it can save people money because it avoids the probate process. A trust attorney in Honolulu can help people to prepare the matter and help to create a will to include anything that is not in the trust. Everyone should learn more about this estate planning method to see if it is the right solution for them.