Trusts are not only for people who own businesses, or significant real property and complicated stock portfolios. Trusts have many uses and can be a smart estate planning tool for individuals of every income level. Some of the different advantages to a trust are as follows:
- A trust established for the financial well-being of minor children will allow the grantor to have conditions and restrictions on how and when distributions are made over time in the best interests of the beneficiaries.
- A trust established to provide income for a spouse can also be established to preserve the principal of the trust for children or other beneficiaries. This trust allows a grantor to decide who will benefit from the income of the trust as well as who will benefit from the income of the trust. If a direct gift were made to a spouse rather than establishing a trust, the grantor would lose the ability to control the principal of the trust assets.
- A trust established to keep real estate or a business in a family can provide control of property over time. A trust can protect property because the ownership does not change as it might if it were held by a person.
- A trust established for providing financial assistance to a disabled individual can provide assistance while protecting his eligibility for government aid and programming.
Getting Legal Help
There are a variety of trusts for different circumstances, but trusts can be complicated and expensive to establish and manage. An experienced attorney can help you understand your options and the risks and benefits of trusts. Experienced Estate Planning Attorney Elga Goodman can help you prepare an estate plan which protects your assets and your loved ones. Call us today at 973-841-5111.
Posted in: Estate Planning, New York Estate Planning
Information accurate as of the publication date of 2011