Trust Creation: What You Need To Know
Deciding on the best way to safeguard your family’s future can feel overwhelming, right? At the Hailey-Petty Law Firm, PLLC, we take the confusion out of the equation. We help you understand and choose the right estate planning tools tailored to your unique circumstances. At the Hailey-Petty Law Firm, we offer the personalized guidance you need to explore the benefits of a wide range of estate planning tools, including:
- Testamentary Trusts
- Revocable Living Trusts
- Irrevocable Life Insurance Trusts
- Special Needs Trusts
- Medicaid Asset Protection Trusts
- Veterans Asset Protection Trusts
Testamentary Trusts
Looking to ensure your little ones are well taken care of after you’re gone? Testamentary Trusts could be your answer. This strategy allows you to gradually pass on your wealth, ensuring your children are financially secure at a pace that suits them best. Testamentary Trusts offers a wide range of benefits including:
- Managed gifting: Testamentary Trusts are ideal for passing assets to minors. They allow for an asset distribution schedule that spreads payments over time until the child reaches a responsible age, avoiding lump-sum transfers.
- Protection from creditors: Testamentary Trusts shield your assets from creditors. Upon your death, assets within the trust are likely not going to be able to be accessed to repay your beneficiaries’ creditors, ensuring the maximum amount of your estate is passed to your loved ones.
- Flexible trustee designation: Testamentary Trusts allow you to designate a trustee of your choosing. This means that you have the power to choose a trusted friend, family member or advisor to manage your estate following your passing.
Revocable Living Trusts
Looking for a way to protect your hard-earned assets from any unforeseen circumstances? Revocable Living Trusts allow you to distribute your assets exactly as you wish, providing you with peace of mind knowing your loved ones won’t have to deal with potential legal hassles. Creating a Revocable Living Trust offers many benefits, including:
- Asset distribution: Like a will, Living Trusts enable the grantor to specify how their assets should be distributed, including bank accounts, real estate, and more. Assets in a trust are exempt from probate, protecting them from inadvertent distribution or court involvement.
- Incapacity planning: While Powers of Attorney are always recommended as part of an overall estate plan, the best incapacity planning tool is a revocable living trust, which allows a designated person to manage Trust assets if you become incapacitated.
- Probate avoidance: Texas probate proceedings are relatively straightforward when there is a properly drafted will, but bypassing probate reduces stress for your loved ones. Assets in a Living Trust are shielded from probate, allowing your loved ones to avoid court involvement entirely.
Irrevocable Life Insurance Trusts
Concerned about the tax implications of your life insurance coverage? An Irrevocable Life Insurance Trust helps alleviate this worry by separating insurance payouts from the rest of your estate, ensuring your loved ones receive the maximum benefits possible, including:
- Tax protection: Irrevocable Life Insurance Trusts separate policy payouts from your estate, reducing estate tax liabilities and maximizing the inheritance for your loved ones.
- Strategic distribution of assets: Trusts ensure responsible management of large sums, relieving loved ones from financial burden and securing their future.
Special Needs Trust
Have a loved one with special needs? A Special Needs Trust could be a protective umbrella, ensuring their medical and personal care is taken care of, without risking their eligibility for essential benefits, including:
- Providing ongoing support: With the trustee managing care, your loved one is assured lifelong support, removing the need for self-care or financial management.
- Protecting SSI or Medicaid eligibility: Inheriting assets outside of a Special Needs Trust can disqualify individuals from Medicaid and SSI benefits. Special Needs Trusts prevent this by ensuring your loved one never directly receives the full trust amount.
Ready to start creating a brighter, secure future for your loved ones?
Let’s do this together. Speak with Hailey-Petty Law Firm today and start exploring the benefits these estate planning tools offer.
Schedule a free consultation with Attorney Hailey-Petty to discuss your unique Texas trust concerns.
To fully understand the drawbacks and benefits each type of trust offers you and your family, it is important to discuss your unique situation with a Texas Trusts lawyer. Attorney Hailey-Petty proudly represents individuals, couples, and families throughout the Austin area. To schedule a free consultation to discuss your trust concerns with Attorney Hailey-Petty, call (512) 910-8977 to reach our Austin office, (210) 570-2458 to reach our San Antonio office, or contact our firm online today.
*Note: additional fees may apply for consultations longer than the allotted minutes.
Feeling overwhelmed with the range of options and legal jargon? It’s okay. We’re here to walk with you every step of the way. Contact us today and let’s simplify estate planning for you and your family