Many people are wondering how they can protect their estate. You have worked hard your entire life to save money, acquire assets and take care of your family. But if you don't take the necessary precautions your estate, and all that you worked for, could be withheld, put on public record and not go to the people that you want it to. A trust is one of the best ways to care for your estate. Here are three reasons why every person should have an estate plan that includes a trust.
1. A Trust Bypasses Probate
One of the most frustrating things is probate. This is a process that a will must go through before it can be executed to your heirs and family. If you leave everything that you have in a will then your estate will have to be mandated by the state when they divide it. This means that it could take months, even years if it the will is contested.
A trust is different. A trust does not have to go through probate. The courts do not oversee the execution of a trust. Instead, the trustees that you have named in your trust get their inheritance immediately. This speeds up the process for your loved ones and keeps the courts out of it.
2. A Trust Doesn't Go on Public Record
When an estate goes through probate it becomes public record. This means that anyone can look up what your net worth was, what kind of assets you had and what you gave to whom. This is very uncomfortable for many people. Luckily, a trust is not put on public record. Because the trust is not overseen by the court no one will know about the execution of your trust except for your family and your lawyer. This provides you and your family the most privacy.
3. A Trust Is Designed by You
Trusts have a lot of flexibility. You can go through and decide how you want everything to be executed. You get to name the trustees, if there are restrictions on the estate, and how the money will be divided. This is perfect if you have special needs in your family. For example, if you have one child who has special needs you can put specific provisions in the trust to accommodate them. This allows you to maintain control over the estate.
These are just three of the many reasons why you should do your estate planning with a trust. Consult with estate planning attorneys to learn more.