Trusts are one of the most powerful and important legal tools available to people who want to protect assets and protect their legacy. Trusts can do a great many things, provided you understand how they work and you select the right type of trust. Nehoray and Drake, LLP can help. Our legal team offers assistance with creating a trust, as well as with trust administration which occurs after the death of a trust creator.
Many people do not fully understand how trust law works, and you could be missing out on important opportunities to provide for your loved ones and protect your assets if you do not learn about trusts. To get personalized advice on trust creation and trust administration, give us a call. Our legal team will help you to evaluate whether a trust is right for you, will advise you on trust creation, and will assist trust administrators with the process of administering an estate. We can also offer answers to questions you have including:
- Should I create a trust?
- What is involved in trust administration?
- How can a trust creation lawyer help?
Should I Create a Trust?
You may wish to create a trust if:
- You want to protect your assets in case you need to go into a nursing home. If you don’t want your assets to disqualify you from the only source of payment for most nursing home bills, you need to take asset protection steps to ensure you can qualify for coverage. This coverage is through means-tested Medicaid and you need a trust that can shield your assets from counting for purposes of Medicaid eligibility.
- You want to make sure trust assets can be managed right away if something happens to you. A backup trustee can take over asset management.
- You want to protect an heir from irresponsible choices. You do not want to just give money to a spendthrift heir or to an heir who is likely to lose an inheritance to creditors.
- You are leaving money to a minor child. A trust lets you decide who will manage the money and ensures that the child doesn’t just inherit a lot of money at age 18 with no strings attached.
- You are leaving money to someone who is disabled. The creation of a special needs trust can allow for assets or property to be used to benefit the person with the disability, without that person losing access to Supplemental Security Income, Medicaid, or other means-tested government benefit programs that impose resource limits.
These are a few of many key reasons why you may want to create a trust. You need to be aware that there are vast number of different kinds of trusts, including irrevocable trusts and revocable ones. You need to work with an experienced attorney to make certain that the trust you have chosen to create is the right kind of trust and is created in accordance with legal requirements so it will provide the expected protections.
What is Involved in Trust Administration?
When a trust is created, a trustee is named who has many responsibilities, including trust administration. Trust administration happens after the trust creator has passed away. The process involves complying with the instructions in the trust document and complying with state law to manage trust assets for beneficiaries and to facilitate the transfer of trust assets to new owners.
The trust administration process allows for assets to transfer outside of probate. It can be a quicker, more streamlined process for heirs or beneficiaries to inherit. This is very important for certain types of inheritances, such as when a family business must be transferred, as you do not want a delay and period of uncertainty before new owners take over.
The trust administration process can be complicated for a trust administrator, so a trust administrator should work with an experienced attorney to follow the necessary steps of trust administration and ensure the wishes of the deceased who created the trust are followed to the letter.
How Can a Trust Lawyer Help?
A trust lawyer can provide assistance with trust creation, as well as with trust administration. Nehoray and Drake, LLP provides representation to those who are creating a trust, as well as to trust administrators who want to ensure they can comply with their obligations to the trust creator and trust beneficiaries. To find out more about how an attorney can provide assistance with all legal matters relating to trusts, give us a call today.