Trust Administration: refers to the trustees’ management of trust property according to the trust document’s terms and for the benefit of the beneficiaries after the settlor’s death. Many steps are required to safeguard effective administration. It is recommended to work with an attorney to help facilitate the process for the trustees throughout the process.
Specialty trusts: these type of trusts, in many way, are similar to revocable trusts for estate planning purposes, yet are for those items you wish to be kept separate from your other assets.
Types of Specialty Trusts can include trusts for: guns/firearms/weapons, motorcycles, bikes, or any other specific type of collections, such as artwork, collectibles, etc.
You might not want everyone you name as beneficiary of your entire estate to have access to, or legally inherit those items you would rather have in a Specialty Trust.
A Specialty Trust would allow for an individual to specify, separate and apart from the remainder of their assets, to have a singular type of asset to be documented, and specific ownership detailed for the future.
Asset protection: refers to the trustees’ management of trust property according to the trust document’s terms and for the benefit of the beneficiaries after the settlor’s death. Many steps are required to safeguard effective administration. It is recommended to work with an attorney to help facilitate the process for the trustees throughout the process.
A-B Trust: created by a married couple with the objective of minimizing estate taxes. An A-B trust is is a trust that divides into two upon the death of the first spouse. It is formed with each spouse placing assets in the trust and naming as the final beneficiary any suitable person except the other spouse. The trust gets its name from the fact that it splits into two upon the first spouse's death – trust A or the survivor's trust, and trust B or the decedent's trust.
BREAKING DOWN 'A-B Trust'
The surviving spouse has complete control over the survivor's trust, which contains his or her property interests, but has limited control over the assets in the deceased spouse's trust. However, this limited control over the assets in the decedent's trust will still enable the surviving spouse to live in the couple's house and draw income from the trust, provided these terms are stipulated in the trust. Upon the death of the surviving spouse, the property in the decedent's trust passes to the beneficiary(s) named in this trust. As this property is not considered part of the second spouse's estate for purposes of estate tax, double-taxation is avoided.
NEVER, EVER TAKE CHANCES WITH YOUR HARD-EARNED ASSETS
Believe it or not, you have an estate. In fact, nearly everyone does. Your estate is comprised of everything you own— your car, home, other real estate, checking and savings accounts, investments, life insurance, furniture, personal possessions. No matter how large or how modest, everyone has an estate and something in common—you can’t take it with you when you die.
When that happens—and it is a “when” and not an “if”—you probably want to control how those things are given to the people or organizations you care most about. To ensure your wishes are carried out, you need to provide instructions stating whom you want to receive something of yours, whatyou want them to receive, and when they are to receive it. You will, of course, want this to happen with the least amount paid in taxes, legal fees, and court costs.
Estate planning is for everyone.
It is not just for “retired” people, although people do tend to think about it more as they get older. Unfortunately, we can’t successfully predict how long we will live, and illness and accidents happen to people of all ages.
Estate planning is not just for “the wealthy,” either, although people who have built some wealth do often think more about how to preserve it. Good estate planning often means more to families with modest assets, because they can afford to lose the least.
Having been practicing the area of estate planning, wills & trusts for the last 25 years, Cary Colt Payne, Esq. will tailor, explain the best option according to your and your family's needs.
There are many options/routs you can plan your estate. The following terms are just for your information regarding the same. Whichever option you choose, Cary Colt Payne, Esq. is the right attorney for you.