Only a small percentage of people have living trusts; in fact, it is estimated that less than 20% of people have established a trust. The reason people provide for not having a trust is often that they do not have time to take care of it, or that they do not need one since they have a will. However, while it can be difficult for many people to discuss their own mortality, it is critical that you make a plan for your affairs and what will happen to your estate when you pass, and the fact is a will is not enough. Even if you establish a will, your estate may still have to go through the costly and drawn-out process of probate, which can put unnecessary stress on your loved ones during an already difficult time. Not only can a living trust help your estate to avoid probate, but it can also:
Ensure Your Money Goes Where You Want
The most important reason to establish a living trust is to ensure that your assets are divided as you want upon your passing. Is there a single relative you want your money to go to, or do you want your money evenly divided amongst your children? Or maybe there is someone you want to ensure doesn’t benefit from your estate. A living trust is the best way to ensure that your assets go where you want and that there is no fighting over your estate after you pass.
Protect Your Privacy
Another reason to establish a trust is to protect your privacy after you pass. If you do not have a trust and your estate goes to probate, then information about your estate — including its value and what it contains– will become a matter of public record. If you are a person that values your privacy, then you will not want your estate becoming public knowledge. Establishing a living trust can keep your estate out of probate, keeping your private life private.
In order to protect your family and make sure that your wishes are adhered to after you pass, you should consider establishing a living trust. Contact us to learn more about the process of establishing a trust and the benefits doing so can provide.