Trusts in New City, New York
For some, the trust is an essential part of an estate plan. A trust, in simple terms, allows the estate’s beneficiaries to receive the maximum benefit of an inheritance. With so many fiduciary benefits provided, namely passing assets in a tax-efficient manner, a trust can also help beneficiaries avoid some of the time and money spent on closing an estate through probate. Like a will, a trust can help you retain control over the future of your estate. It is a testamentary document that details your wishes. If you are interested in passing an inheritance through a trust or would like to know more about your estate planning options, contact The Lauterbach Law Firm for a free, initial consultation.
What is a trust?
A trust is a fiduciary contract between a trustee and an estate in which the trustee is authorized to hold assets on behalf of a beneficiary. Generally, a trust is either revocable or irrevocable.
- Irrevocable trust: A trust that cannot be changed without the explicit consent of the beneficiary
- Revocable trust: changes can be made at-will by the testator
The benefits of a trust
There are many benefits to a trust. Depending on the type of trust and whether it is irrevocable or revocable, a trust can, generally, put more money in the hands of the beneficiary and out of the hands of the government. The most notable benefit is the tax implications. Passing an inheritance through a trust instead of a will can greatly benefit those you leave behind. Though revocable trusts have fewer tax benefits than irrevocable trusts, they both share this benefit to a certain degree. Trusts also can help:
- Pass assets outside of probate
- Pass assets and inheritance quicker
- Save everyone legal costs
Examples of trusts
There are numerous trusts available. Each comes with its own purpose. When considering which trust best suits your needs or the needs of your beneficiary, it is important to discuss your estate with an experienced attorney. Whether you are leaving money to a family member or charitable organization, there is a trust that fits almost every need. Below is a small sampling of the many trusts available to you.
- Inter vivos trusts
- Asset protection trusts
- Supplemental needs trusts
- Charitable remainder trusts
- Special Needs Trusts
- Charitable leads trusts
- Generation-skipping trusts
- Life insurance trusts
- Testamentary trusts
- Qualified personal residence trusts
While each trust comes with a different mechanism for when and to who should receive the inheritance, contact our firm to discuss your legal matter and trust options.
Contact The Lauterbach Law Firm
The Lauterbach Law Firm has been a legal resource to Rockland County for decades. Estate planning is an essential part of life. If you are interested in knowing more about the function of a trust or how it may best serve your estate and its beneficiaries, contact The Lauterbach Law Firm. We are honored to help people make informed decisions about the future of their estate. Whether you are in need of estate planning advice or estate administration services, we are ready to help. Contact The Lauterbach Law Firm to discuss your situation.