If you have any type of property or asset to your name, it makes sense to set up a living trust. A living trust is a way for you to manage your assets and properties so as to avoid having to go through probate court and pay enormous probate taxes. It’s called a living trust because the people who own and manage the trust are still alive (namely, you). It’s the secret of the rich to let heirs inherit the wealth without having to pay a tremendous amount of fees and taxes.
Setting up a living trust can easily be done with the proper legal assistance. Here’s how to name a living trust.
- Write down what you own. You need to sit down and review what you own and how much you have. Again, a living trust is not only for the fabulously wealthy. You can have a living trust made as long as you own property and you would like to protect your loved ones. Making a living trust is part of an intelligent estate plan so take the time to list down everything. Include your primary home, second home or other rental property, any bank accounts and investment accounts you have and other valuable items that belong to you. You will need to have account numbers, deeds and other legal documents at hand when getting all this together.
- Work with a reputable attorney or estate planner. Notify your family lawyer that you want to get a living trust made. If you don’t have a lawyer, get a referral from your financial planner, accountant or other friends who have set up a legal trust. It’s a good idea to work with someone who specializes in estate planning. Your lawyer should tell you what documents you need to prepare as well as make an appointment to see you so you can get it all together and talk about your intentions.
- Determine who you want the trustee to be. In most cases, the person getting the Living Trust is the Trustee of the Trust. If you are a husband and wife and would like to both be trustees, then the name of the trust should reflect that, such as Jones Family Trust. You may want to keep it short and sweet unless you don’t mind “John James and Casey Anne Tyler-Jones Family Trust” every time you fill out some paperwork.
- Review the trust before you finalize it. Submit your documents to your attorney. He will draw up the paperwork to make a revocable living trust. Revocable means you can make changes to the trust, such as adding and taking away items or beneficiaries to it as you deem fit. When you get the paperwork for the trust, be sure to read it carefully. Make sure the trust name is spelled and written correctly.
- Rename your assets under the trust. As soon as you have the paperwork, it’s now time to go through the arduous process of going around and changing the name on your stuff changed to the Trust name. This may take some time, but it will be worth it in the end. Don’t forget the change the car registration, insurance paperwork, bank and investment account names and other property listed on the trust.
Naming a living trust is an important part of organizing your estate.
Choose wisely since this is what all legal documents pertaining to your
assets will now be named after.