Revocable Trusts are a great estate planning tool.
Unlike wills, revocable trusts do not require probate court to transfer assets after a loved one passes away. Instead, assets can be held by that person and transfer without a court order. This includes land, retirement accounts, and bank accounts. It also includes household goods. For example, if you have a valuable coin or firearms collection, you can arrange for a loved one to receive these without going to probate court.
Revocable trusts can save money.
One of the largest issues in many probate proceedings are attorney fees. Under Florida law, the personal representative’s attorney can charge three percent. So can the personal representative. These costs can add up. Revocable trusts avoid these expenses, along with the time involved with a probate case. Court cases can take time, and there are time-frames for things such as notices to creditors. It’s hard enough to lose a loved one; it’s even worse when you have to wait for a probate court to resolve property distribution.
There are several different types of trusts.
These include charitable trusts, special needs trusts, and regular revocable trusts. Charitable trusts are – as stated – for charitable purpose. Special needs trusts are designed to provide for a family member with disabilities. Revocable trusts can be both amended or revoked, giving the settlor much discretion. This combination of types of trusts, with the flexibility to amend or revoke, provide a variety of options to anyone who seeks to use a trust.
Each trust must identify who the trustee will be. This person is responsible for carrying out the terms of the trust. The power given to a trustee can be broad or limited. Florida law outlines many specific powers a trustee can have. And the person who creates a trust can be the trustee. We have created many trusts over the years, and they have been helpful. Please see our website for more information.