If you are sitting down to create a will, or to update your current one, it’s important to think about adding a revocable trust to your estate plan. A revocable trust is a legal document that you have total control over while alive and can revoke it at any time before you pass away. Today, we will explore the reasons why you should create a revocable trust.
The biggest reason why you should create a revocable trust is to avoid probate. It is still possible for your family home to wind up in probate even if you own it jointly with your spouse. If you put the home in a revocable trust, it cannot go through probate and will go right to your surviving spouse upon your death.
A revocable trust allows you to create asset protection for your children. You will even be able to put an age restriction on the assets within the trust going to your children so they cannot access them until the age that you set forth.
A revocable trust can legally be listed as a contingent beneficiary on any and all of your retirement accounts. A contingent beneficiary is an entity chosen to receive assets after your first beneficiary, which is likely your spouse.
You can also nominate someone you trust to be the trustee. This person would handle all of your financial affairs should you become incapacitated and cannot handle them yourself.
Creating a revocable trust has a myriad of benefits that far outweigh the negatives. It’s something you should look into with the assistance of your estate planning attorney in Fort Myers.