Proper estate planning is critical in helping to ensure that things are as stress-free as possible for your loved ones after you are gone. However, with there being several types of estate plans available, many people feel overwhelmed by the estate planning process and are unsure where to start. One of the first questions that may come to your mind is whether a will or a living trust will be the better option for you and your loved ones. If you are uncertain which estate planning method would best meet your needs, here is a quick look at a few of the reasons why you should consider choosing a living trust.
Reduce Estate Taxes
One of the primary benefits of placing your assets in a trust before you die is that this can help to reduce the taxes your estate faces. Estate taxes can end up significantly reducing the amount of money that your heirs receive upon your passing. However, transferring your assets to a trust while you are alive can help shield them from some taxes, ensuring that as much of your assets as possible go to their intended recipients.
Helps Your Estate Avoid Probate
Another benefit trusts provide over wills is that they can help your estate to avoid probate. When you have a will, your will must go through probate court in order to be verified and enforced. However, probate can be a lengthy and expensive process that can put unnecessary stress on your loved ones during an already difficult time. Fortunately, a properly prepared trust can help your estate to avoid the probate process, making things as easy as possible for your family.
A Living Trust Can Help You Maintain Your Privacy
Not only can going through the probate process be expensive and stressful for your loved ones, but it can also put your family’s privacy at risk. When a will goes through probate, the will and the entire contents of the estate become public record. If you value your privacy, a trust can help to keep your personal information private and out of the public eye.
These are just a few of the benefits that a living trust can provide over a will. Contact us to learn more as well as for advice on choosing the right estate plan for your family.