When it comes to doing estate planning it is always critical that you talk with an attorney to make a good trust choice. We offer a free consultation. We know that there are a lot of online resources that you can use. However, if you do not do it correctly and execute documents the way they should be executed your trust could be worthless.
A trust involves at least three types of people which are defined by the role they play in the trust. The first is the Trustor or Trustors. This is sometimes referred to as a settlor or grantor. This is the person who creates the trust. The next required person is the Trustee. This person or persons is who is charged with a fiduciary duty to manage the assets of the trust for the last type of person – the beneficiary or beneficiaries.
There are usually two types of Trustees. Immediate and Successor. The immediate trustees take initial management responsibility. The successor trustee takes over once the initial trustee is unable to continue serving.
There are usually two types of beneficiaries: income and remainder. Income beneficiaries get the immediate income of the trust and the remainder beneficiaries get what is left once the income beneficiaries have passed away or the term of their rights to income have passed.
Can be the Same
In most cases, the trustors, trustees, and beneficiaries are the same people. A person or married couple will create a trust for their benefit during their lifetime. They will be the initial beneficiaries as well.
Some trusts provide for other people to be involved such as designating an investment trustee, a distribution trustee or a trust protector. There are even special asset protection trusts that have some big advantages when done correctly.
There are numerous types of trusts. Estate planning, trust choice, wills, trusts, probate, and other things can be confusing.
It is important to determine which will best meet your needs. Call us at 435-674-2564 and set up a free consultation with Travis Christiansen and make sure these things are not left to chance.