Adding a trust to your estate plan is a big decision, as this will alter the moves you make today and in the future. It also changes what happens to your estate upon your passing.
Not all trust grantors need to fund spendthrift trusts for their heirs, but they can be ideal when the heirs have proven themselves to be less than fiscally responsible.
There are many options when creating an estate plan and no one-size-fits-all solution. While that may complicate the process, it allows individuals to tailor their estate plans to meet their unique circumstances.
Are you putting off your estate-planning efforts in the hope that one of your beneficiaries will develop some financial restraint or learn how to manage his or her fiscal affairs? There is a possible solution that will allow you to quit delaying your estate planning and start the ball rolling.
There is a lot to think about when creating an estate plan, including what will happen to you and your finances in the event you become incapacitated.
"Joint tenancy" and "tenancy in common" are property ownership arrangements used when a property has two or more owners. In cases of joint ownership of a property, it will be established whether the multiple owners will hold the property as tenants in common or as joint tenants. The biggest difference between these two forms of joint ownership comes into play when one of the owners passes away.
There's no way to predict that you're going to have a child with special needs. You simply decide to have a baby, and hope for the best. Then, on the off-chance a special needs baby is born, the parents respond in beautiful ways to make sure their child has best and most comfortable life possible. In one case of a special needs dad, who found out that both of his sons had cystic fibrosis in 2002, that's exactly what he did. He made sure that his children with cystic fibrosis would be well-taken care of.
Numerous California residents create revocable living trusts every year, but not all of these individuals will take advantage of their numerous benefits. In fact, it's not uncommon for individuals to waste the amount of money they spend on trust creation by never reaping their full advantages.
California parents love their children more than anything -- well, almost more than anything. Many parents arguably love their pet dogs and cats just as much as their human children. The problem is, dogs and cats are considered property under the law and they can't, themselves, own property. As such, this creates some challenges for those who want to ensure that their animals are well taken care of following their deaths -- challenges that could be resolved via a pet trust.
A testamentary trust is written within a will, or it's written within another document that has been incorporated into a will by reference. Such a trust goes into effect at the death of the will creator (a.k.a, the settlor). One of the primary reasons why estate planners seek the benefits of a testamentary trust is because it protects a minor child's bequeathed assets.