Maryland Revocable Living Trust Attorney
While thinking about leaving behind your property to your loved ones after death is difficult for everyone, it is a necessary aspect of creating a sound estate plan. One aspect of an estate plan is a revocable living trust, also called a just a revocable trust, which is often a better method of asset distribution than a simple will. Whether you are a young adult, middle aged, or an older adult, it is never too early to start thinking about estate planning, because the future is never certain. When an unplanned for event strikes, all parties involved will be glad that you took the time to create a stable financial future for your loved ones. Contact our highly skilled Maryland revocable living trust attorneys today if we can be of service to you with your estate planning needs.
An Estate Planning Attorney in Maryland Can Help with the Establishment of a Revocable Living Trust
When you are thinking about estate planning, it is important to consider establishing a revocable living trust. It can be difficult for Maryland residents to think about how they want their assets to be distributed when they pass away. However, regardless of whether you are young or old, it is important to realize that we cannot always plan for the future, and events happen quickly and unexpectedly. As such, it is important to have a plan in place to ensure that your immediate family members and other loved ones will have the financial resources they need when you are no longer here to provide them.
A revocable living trust can be an important tool for Maryland residents to make decisions about asset distribution while avoiding probate. If you have questions about whether a revocable living trust might be right for your situation, you should discuss your case with a Maryland revocable living trust attorney as soon as possible.
What is a Revocable Living Trust?
You might be asking yourself: what is a revocable living trust and why do I need one? It is called a “revocable” trust because it can be revoked during the creator’s lifetime, as long as she or he is still competent to do so. It is called a “living” trust because it is established while the creator is still alive. It is a written document
By creating a revocable living trust, a person can allow his or her beneficiaries to obtain property without going through probate. However, a revocable living trust must be established in a particular way and with the help of an experienced Maryland revocable living trust attorney.
Why Do I Need a Revocable Living Trust?
Individuals young and old can benefit from a revocable trust for various reasons. The key is to discuss your situation with an attorney, who can then direct you towards and create the ideal trust for your loved ones. There are a number of advantages by going with a revocable living trust, as described below:
- A revocable trust saves money. Because the assets in a revocable trust do not go through probate, your beneficiaries get 100 percent of the assets that you leave them. Probate, which is the official proving of a will, can easily eat up 15 percent or more of the assets in a will, leaving your children or grandchildren with less than you hoped to. The average probate costs $1,500, according to the American Bar Association.
- A revocable trust saves time. Again, because a revocable trust bypasses probate, your beneficiaries will receive the assets in the trust within a fraction of the time that they would if they had to wait for your will to pass through probate. Probate takes six to nine months on average, according to the American Bar Association.
- A revocable trust is more secure than a will. Your last wishes and testaments may not be as sacred as you believe them to be, at least when it comes to asset division amongst a family that does not get along. Wills are less secure than a trust because during probate, the will can be contested if one or more beneficiaries or family members do not agree with your decisions. Furthermore, an inexperienced or even untrustworthy executor can ruin the plans in your will by failing to pay off creditors in time and getting sued, by paying off creditors that did not need to be paid off, or my misappropriating the funds in your will. None of this will happen with assets in a revocable trust.
- A revocable trust can be changed while you are alive. Like a will, a revocable trust can be changed at any time you see fit, as opposed to an irrevocable trust that cannot be altered. This means that if your wishes change with time, you can modify the trust to reflect those wishes whenever you want to.
- A revocable trust allows more precision. You can set up a revocable trust to more accurately direct where your assets go and how they will be used, such as creating an education trust for your grandchildren.
Understanding the Differences Between a Revocable Living Trust and a Will
In many ways, a revocable living trust has some of the same functions as a will. To be clear, it allows an individual to name beneficiaries in the event of his or her death. While a will also does this, the revocable living trust can allow you to avoid probate. Probate is the name for the process in which a decedent’s will is authenticated and the decedent’s debts are paid and assets are distributed. This is a court-supervised process, and it can be lengthy and time-consuming.
Here is what both wills and revocable living trusts can do:
- Name beneficiaries;
- Leave property; and
- Allow you to change your mind during your lifetime as long as you are legally competent.
A revocable living trust can also do the following (but a will cannot):
- Allow for property to pass without going through probate;
- Keep your plans for your assets private after your death (since the revocable living trust will not go through a court-supervised process; and
- Limit the chances of a dispute over your assets after your death.
There may be additional benefits of a revocable living trust that an estate planning attorney can discuss with you.
Contact a Maryland Trust Attorney to Learn More
Creating a revocable trust allows your assets to bypass probate, which can be a necessity if your beneficiaries need those assets immediately after you are gone. Feel free to discuss your specific case with one of our experienced Maryland revocable living trust attorneys today. Contact the law offices of Frame & Frame today for help.