Canton Trust Lawyer
Trusts can protect assets from creditors, ensure that your loved ones receive their inheritance in a timely manner, avoid taxation, avoid probate, enable individuals to qualify for long term care housing, and so much more. There are dozens of types of trusts that may be relevant to your needs when it comes to asset protection, wealth preservation, and passing down your property to your loved ones. Canton trust lawyer Brian S. Karpe is here to help you in this regard in any way necessary.
Seven Common Types of Trusts For Estate Planning
- Revocable Trust—A revocable trust is one that can be altered at any point of the grantor’s life. Because the assets placed in a revocable trust remain the property of the grantor, a revocable trust is not used to shield assets from creditors. Instead, revocable trusts are generally best used to avoid probate.
- Irrevocable Trust—An irrevocable trust cannot be altered by the grantor. Once the assets are placed within it, they no longer belong to the grantor. As such, irrevocable trusts can be a great way to shield assets from creditors and other parties.
- Special Needs Trust—A special needs trust is created to hold the assets of a special needs individual so that they can financially qualify for SSI benefits and Medicaid.
- Medicaid/Long Term Care Trust—Similar to a special needs trust, a Medicaid trust is used to hold the assets of an elderly person in order for them to qualify for Medicaid, which pays for nursing home care and other long term care.
- Charitable Remainder Trust—A charitable remainder trust enables the grantor to generate income from the assets held within the trust, while the amount left over eventually goes to charities of the grantor’s choosing.
- Testamentary Trust—A testamentary trust is automatically created by a will after the grantor passes away. A testamentary trust can be used for passing down assets from previous marriages, gifting to charities, providing assets to the spouse, and more.
- Asset Protection Trust—There are two types of asset protection trusts: foreign ATPs and domestic ATPs. Both types of these asset protection trusts are irrevocable, and when designed right, they shield assets from creditors and taxation.
The Potential Downsides of Creating a Trust
The number one downside to a trust is working with an attorney who does not structure the trust properly. Grantors and their heirs sometimes end up paying dearly for their attorney’s mistakes. Another potential downside is creating the wrong type of trust, or creating a trust and failing to fund it with assets. It is essential that you work with a trusted and qualified estate planning lawyer to set up any type of trust.
Contact a Canton Trust Lawyer Today
Whether your primary goal is to avoid probate so that your heirs will have access to assets in a more timely manner, or you wish to qualify for nursing home care while still having access to your hard-earned assets, a trust may be right for you. Contact the Law Office of Canton trust lawyer Brian S. Karpe for all of your estate planning needs. Call today at 860-217-1458 to schedule a free consultation.