Easy Questions  
Free Legal Documents

Twelve Things to Know About Revocable Living Trusts in Adger, AL

Twelve Things to Know About Revocable Living Trusts in Adger, AL


When planning for a year, plant corn. When planning for a decade, plant trees. When planning for life, train and educate people.
 
- Chinese Proverb


Making a will is a common choice for transferring an estate or property to beneficiaries. However, this is not the only available option for estate planning. A living trust is fast gaining popularity because it offers ways to avoid probate, which can be time consuming and costly because it is a legal process to determine whether a will is valid or not.

When opting to choose a living trust as part of your estate planning, it would help to know the basic facts about a revocable living trust.

Twelve Things to Know

1. What is a revocable living trust?

Living trust is made while you are still alive. A trust involves three people: the creator, the trustee/s, and beneficiaries. You and your spouse can be the trustees in order to have full control of the property indicated in the trust. It can be revocable because as long as you are mentally competent you can change or dissolve the trust anytime. The trust will be irrevocable only after your death.

2. What is the difference between a living trust and a will?

Inheritance instructions are both contained in the living trust and a will. It will tell who will inherit your property and the provisions governing the document.

A living trust is commonly chosen by people with concerns on privacy and probate. A living trust will not be made public for as long as nobody in the trustee or beneficiary questions or seeks court approval of the accounts.

Using a will for a modest value estate is relatively easy to do for most people at 1-2-Law.com.

3. What are the consequences of not having either a will or living trust?

Having no estate plan of any kind can automatically make your spouse or closest heir the beneficiary of your properties. The state can also assign a person you might not like to be the one to distribute your property and at the same time be the legal guardian of your minor children.

4. What can and cannot be done by a living trust?

A living trust can give you peace of mind when it comes to the handling of your assets. It can also ensure the protection of your heirs when it comes to financial matters. Your estate will not undergo probate which can save time, cost and delay before the heirs can get what you have given them. If your living trust is worded properly, it can also serve as a power of attorney. Provisions indicated in your living trust can be passed on to you beneficiaries either as soon as after your death or can be portioned out in the amount you specify over time. Your lawyer can also make some saving clauses in the trust document that can help reduce state and federal estate taxes.

In case your heirs are dissatisfied, the trust can resolve conflicts in the inheritance arena. Cutting off a beneficiary out of the trust can be the start of the issue just like a will.

5. Who are the trustees?

Trustees are the people who have full control and authority over the trust. They should be mentally competent to handle the property in the trust. As the creator of the trust, you and your spouse can be named as the trustees. In the event that illness or disability hinders you from managing your property, your co-trustee or successor trustee will be the one to manage your affairs.

You can assign your children to be your successor trustees as well. But if you are not confident that they will distribute the assets according to the instructions in the trust, a professional fiduciary can be named as a successor trustee. This could be a person from a professional trust company, trust department bank or from a private fiduciary.


6. Do I need to put a large amount of money upon the creation of my living trust?

Funding is not necessary when creating a trust. A token dollar is all you need to start with your trust and you can put in as much asset as you own later. You can even choose to fund your trust after you pass away. Certain advantages can be derived on each choice depending on your needs and concerns.

7. Are additional work and cost needed if I add or delete property or investment?

Amending your living trust at 1-2-Law.com is very fast, easy and inexpensive.

8. Do I need a lawyer when preparing my living will?

Only you can decide if the added expense of hiring a lawyer is worth it to you.

9. How much does setting a living trust cost?

Setting up a revocable living trust at 1-2-Law.com is very fast, easy, and inexpensive.

10. Is a revocable trust right for me?

While many can benefit from making a living trust, some might decide they don't need it. It may depend upon the value of your estate. Simple estates with few assets and investments may find that a will is all they need. A trust can involve more expenses than a will. Studying the subject can help you decide on what estate planning fits you best.

11. Is a revocable living trust exempt from Estate Taxes?

No! For tax purposes, any property held by your Revocable Living Trust is treated as though you still owned it in your personal name. The trust's tax ID number is the settlor's social security number. Also, all of the trust's income is considered personal income to the settlor and is reported on his or her individual income tax return rather than on a separate trust income tax return.

12. Once transfer property to a Living Trust, is it mine anymore?

Yes. All trusts divide the ownership of the trust property into the legal element and the equity element. The legal ownership is generally associated with the obligations that come with holding title to property, while the equitable ownership is associated with the benefits, including the right to possession and enjoyment of the property. In a trust, the trustee owns the property in a legal sense, but he or she holds that property for the benefit of the trust beneficiaries. Since the person creating the trust is also the trustee and current beneficiary, they own both the legal interest and the equitable interest, but hold them separately - the equitable interest in the personal name as settlor and beneficiary of the trust and the legal interest in the official role as trustee of the trust. In any event, he or she retains the right to amend or revoke the trust at any time, with the ability to return all of the trust property to individual ownership.
 
Edit, Download, & Print a Free
Alabama Living Trust
Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Page 8
Page 9
Page 10
Page 11
Page 12
Page 13
Page 14
Page 15
Page 16
 
Edit, Download, & Print a Free
Alabama Last Will
Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Page 8
Page 9
Page 10
 
Edit, Download, & Print a Free
Alabama Power of Attorney
Page 1
Page 2
Page 3
Page 4
Page 5
Related Legal Services near Adger, AL
Wilson Jr James E
732 Carter Hill Rd
Montgomery, AL 36106
(334) 834-9899
Attorneys, Legal Service Plans
Total Attorneys - DUI
PO Box 273984
Billingsley, AL 36006
(334) 259-9549
Attorneys, Legal Service Plans
Halstrom, Timothy
4170 Lomac St
Montgomery, AL 36106
(334) 272-9524
General Practice Attorneys, Attorneys
Dwayne L Brown
4150 Carmichael Rd Ste A
Montgomery, AL 36106
(334) 285-9444
Attorneys, General Practice Attorneys, Legal Service Plans
Padula Law Firm PC
119 Church St
Rainbow City, AL 35906
(256) 442-9100
General Practice Attorneys, Attorneys, Legal Service Plans
The McAdory Firm, LLC
200 88th Street South
Birmingham, AL 35206
(205) 370-9094
Bankruptcy Law Attorneys,  Estate Planning Attorneys,  Civil Litigation & Trial Law Attorneys,  Divo
Roebuck M Lloyd
1810 Old Government St
Mobile, AL 36606
(251) 479-9010
Attorneys, General Practice Attorneys, Legal Service Plans
Hollifield Charles P
3225 Lexington Rd
Montgomery, AL 36106
(334) 263-9010
Attorneys, Legal Service Plans
Thiry & Caddell
1911 Government St
Mobile, AL 36606
(251) 478-8880
Legal Service Plans,  Accident & Property Damage Attorneys,  Bankruptcy Law Attorneys,  Corporation
Jack "Trip" Smalley
2607 Dauphin Street, Suite C
Mobile, AL 36606
(251) 610-8744
Family Law Attorneys,  Divorce Attorneys,  Commercial Law Attorneys,  Personal Injury Law Attorneys,
Robert M Harrington JR
4612 Fox Den Ln
Montgomery, AL 36106
(334) 272-8603
General Practice Attorneys
Howard Rick A
4001 Carmichael Rd Suite 300
Montgomery, AL 36106
(334) 215-8585
Attorneys,  Labor & Employment Law Attorneys,  Civil Litigation & Trial Law Attorneys,  Discriminati
Howard Rick A
4001 Carmichael Rd Ste 300
Montgomery, AL 36106
(334) 215-8585
Attorneys, Civil Litigation & Trial Law Attorneys, Insurance Attorneys, Product Liability Law Attorn
Betts Laura
4001 Carmichael Rd Ste 300
Montgomery, AL 36106
(334) 215-8585
Attorneys, General Practice Attorneys
Darneille Jason D
4001 Carmichael Rd Ste 300
Montgomery, AL 36106
(334) 215-8585
Attorneys, Legal Service Plans
Goldfinger Roy S PC
4472 White Acres Rd
Montgomery, AL 36106
(334) 395-8500
General Practice Attorneys, Attorneys, Legal Service Plans
Pappanastos John N
4131 Carmichael Rd Ste 2
Montgomery, AL 36106
(334) 264-8500
General Practice Attorneys, Attorneys
Waldrop And Associates PC
6700 Odyssey Dr NW Ste 105
Huntsville, AL 35806
(256) 539-8343
Family Law Attorneys, Tax Attorneys, Attorneys
McTighe James H
4750 Woodmere Blvd
Montgomery, AL 36106
(334) 356-8337
Attorneys
Grainger Legal Services LLC
4220 Carmichael Ct N
Montgomery, AL 36106
(334) 523-8101
Estate Planning Attorneys,  Attorneys,  Legal Service Plans,  Family Law Attorneys,  Probate Law Att
Abell William K
4171 Lomac St # D
Montgomery, AL 36106
(334) 271-8008
Attorneys, Family Law Attorneys, Social Security & Disability Law Attorneys, Corporation & Partnersh
Harrison Gammons & Rawlinson PC
2430 L & N Dr SW
Huntsville, AL 35806
(256) 533-7711
Real Estate Attorneys,  Attorneys,  Title Companies,  Insurance
McLeod Vonda S. LLC
4131 Carmichael Rd
Montgomery, AL 36106
(334) 245-7711
Personal Injury Law Attorneys, Attorneys, Social Security & Disability Law Attorneys
Blevins Jerry M Attorney
2800 Zelda Rd # 200-3
Montgomery, AL 36106
(334) 262-7600
Criminal Law Attorneys
12Law.com   |  NASHVILLE, TN USA   |  CONTACT US