One of the most basic documents that New York residents may create for their estate plan is a will. All persons should make a will as soon as possible so that they can ensure their assets are distributed as they desire. In some cases, individuals should also create a trust to further safeguard their assets. Here are the top six reasons that a person should make a trust:
- To Avoid Probate and Conservatorship: By creating a trust, persons can bypass the lengthy and expensive probate process. A will is forced to go through the probate court in order to be seen as legal. This may take more than a year to settle, whereas a trust may be settled in a matter of months, without involving the courts.
- To Provide for a Loved One with Special Needs: Those who have children with physical or mental disabilities may provide for them through a trust without disqualifying them for government benefits. With a will, persons can bequeath money to special needs individuals, but this may jeopardize their eligibility.
- To Obtain Privacy in Court Proceedings: Any will that passes through the probate court is subject to public record. A trust, on the other hand, is a private proceeding.
- To Get Flexibility for Blended Families: Those who have blended families may consider a trust to provide for children or spouses from prior marriages.
- To Transfer Out-of-State Property: If an individual holds property in another state, then he or she can more easily transfer ownership of that property in a trust. If the property is distributed via a will, then there will be additional expenses because it may have to go through probate in multiple states.
- To Protect Assets: In a trust, assets are more easily protected from creditors. This allows your loved ones to keep more of the assets than they would be able to with the use of a will, alone.
Have further questions on what a trust can do for you? Speak with a Long Island estate planning lawyer at Adler Law to discuss the specifics of your situation. While the firm usually charges $500 for a Wealth Planning Session, then next two people who mention this article can obtain the consultation free-of-charge! Call the firm as soon as possible to get started. Don't forget to mention this article!