What are the Benefits of a Revocable Living Trust?

Revocable Living Trusts

Key Benefits of a Revocable Living Trust

With a Revocable Living Trust

Gain a built-in contingency plan in the event of your incapacity.

There is a seamless transition upon your incapacity. Your successor trustee can step in and take over the management of your assets and financial affairs while you are still alive if you are no longer able to handle this function for yourself. He or she can take over this role without any need for a probate court proceeding.

Avoid the public, time-consuming stressful probate process.

There is a seamless transition upon your passing. Your successor trustee is immediately authorized to take over the management of your assets without any need for probate court intervention or supervision. This person manages on behalf of and distributes your assets to your beneficiaries in accordance with the explicit instructions contained within your revocable living trust.

Loved ones have immediate access to your assets after you die.

If you have a spouse or children who depend upon you, they will not be subjected to a potential twelve-plus month probate process period where your assets may be frozen, during which they may have to petition the probate court for access. Instead, with a revocable living trust, they can continue to benefit from your assets as needed immediately.

Eliminate/minimize the amount estate taxes that your estate is obligated to pay.

If you are at risk of paying estate taxes upon your death, your revocable living trust-based plan can include estate tax planning strategies to minimize or even eliminate federal and state estate taxes.

Provide asset protection for your loved ones.

If you have concerns about the financial maturity of your future heirs, you can set up restrictions on their right to manage or access their inheritance, and you can even protect their inheritance from their own creditors, potential lawsuit judgments, and even ex-spouses in the event of divorce.