Living trusts are important estate planning document because they allow you to transfer property efficiently, without having to worry about probate. If you are thinking about drafting one of these documents, it is important to consider the ideal time to get started. For instance, when deciding whether to start drafting a living trust, you should think about both your age and financial situation. Although the “right time” may vary for different people, it is always best to contact an experienced estate planning attorney – someone who can assess your situation and make sure that the transfer of assets to your beneficiaries is a smooth transition.
Unfortunately, there is no real answer to the “right time” to create a living trust because it is not solely based on your age. Instead, wealthier people with expensive assets, regardless of age, should consider one of these documents. After assessing your situation then you can determine if a living trust would be right for you. You could follow the lead of other individuals and discuss with your family members about whether it is time for you to have your living trust drafted. However, it is important to stress that, if you wish, you can create one of these estate planning documents at any point and the general rule of thumb is to create one earlier rather than later.
If you are unsure about how your financial situation would influence the timing of your living trust, consider meeting with a dedicated attorney from our firm.
When creating a living trust, you must decide which assets to include and which to leave out. Additionally, you need to take the proper precautions to avoid common mistakes. For instance, you never want to lose control of assets that you might need to access in the near future.
Fortunately, there are some common examples of assets that people usually protect with a living trust, including but not limited to:
Meanwhile, the following items are examples of assets that might not be included in the living trust:
If you are confused about any of these recommendations or things to avoid, one of our knowledgeable lawyers could offer personalized guidance and answer your many questions.
There are many things to know about living trusts, which are flexible and unique estate planning options. While there is no single correct time to create one, our firm certainly has some recommendations and advice you should consider. Additionally, we could help you learn what to include and what not to protect, to maximize the value of your estate in the future. Contact us today to learn more about how a living trust might be right for you.
Amity Law Group, LLP
