One of My Professional Advisor Says I don’t Need a Revocable Living Trust

Share this post

My Professional Advisor Says I don’t Need a Revocable Living Trust

It’s not uncommon for a professional advisor such as attorney, financial and insurance advisor or CPA to think of estate planning as pertaining only to finances, avoiding probate, or reducing taxes. That is the focus of the training most have experienced. Therefore if you have jointly held or beneficiary assets (thereby avoiding probate), or a smaller estate (thereby avoiding estate taxes) the professional may conclude that you don’t need trust planning.

However, knowledgeable professional advisors know that trusts are also used for disability planning, creditor protection for your spouse and children after death, passing along family values, and many other purposes beyond probate and taxes.

What a Professional Advisor Should Tell You about Choosing a Will or Revocable Living Trust

Many people assume that revocable living trusts are just for wealthy people, but the benefits that they can offer to someone with even minimal wealth are significant. Learn your options. The major distinction is that a will requires probate to pass your assets on to your chosen beneficiaries. The contents of your will (and, by extension, your beneficiaries and the extent of property you’re leaving to them) become a matter of public record when it’s filed with the court to open probate. When planning your estate, you may consider setting up a revocable living trust. A properly managed revocable living trust can provide unique benefits; however, it does not completely replace a will.