The short answer is MAYBE. A trust allows control over when and how your heirs inherit, can ensure your minor or disabled children are taken care of even if you aren’t here, and can avoid a frustrating and time-consuming court process.
What is a Trust?
In your later years, you may begin to consider how to provide for your loved ones in the event of your death. Creating a trust is one simple way to accomplish this.
Trusts are legal entities that own your assets, and you act as trustee. The assets are under your control and you can decide how to use them. Trusts have the advantage of helping you avoid probate, which is the process of distributing your assets after you pass away.
The probate process can be time consuming and expensive – a trust can help you avoid it. A trust can also assist you in managing your assets while you are still alive. In case of incapacity, the trustee can step in and manage the trust.
Trusts can help you:
- Avoid probate
- Protect assets from creditors
- Preserve your assets for your heirs to benefit from long-term
A trust makes life easier for your family after you die, which is one of the main reasons for getting one. Trusts allow your heirs to avoid probate court, so they won’t have to deal with the time-consuming process.
Trusts are also useful for other reasons. Leaving property to children, for example, can be facilitated through a trust. A trustee can store that property in a trust until the child reaches adulthood and even after. Trusts can also help people avoid conservatorships if they become incapacitated, since they have already named a trustee or successor trustee.
Wills vs. Trusts
A will is still necessary even if you decide to create a trust. A trust cannot control property that you haven’t placed inside of it. As a result, creating a will is a good idea for dealing with any remaining property after your death.
There are other capabilities that wills have that trusts do not, including:
- Establishing guardianship for children
- Leaving instructions for paying taxes & debts
- Naming an executor
- Naming managers for your children’s property
Creating a trust in Michigan isn’t difficult. There is, however, some research and planning involved. In most cases, you should hire an experienced estate planning attorney to help make sure that you and your loved ones are protected.
Contact a local Kalamazoo estate planning lawyer at Sharp & Associates Law Firm, so that we can help you protect your family and assets – CALL TODAY!
We proudly serve ALL of Michigan including Kalamazoo County, Kent County, Calhoun County, Berrien County, Van Buren County, Cass County, St. Joseph County, Ottawa County, Branch County, and Barry County.