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Category Archives: Trusts & Estate Planning

Categories Trusts & Estate Planning, Wills

Why Everyone Should Consider a Living Trust

Author swb Categories Trusts & Estate Planning, Wills Posted on

TRUSTS

NOT JUST FOR THE WEALTHY

Saunders, Walsh & Beard Estate Planning Team

A majority of people think that estate planning documents, such as trusts, are only for high-wealth individuals or families. As such, they might not often think about creating a trust, but there are still several reasons why having one could be beneficial, even on a smaller scale. Here are a few:

  1. Asset Protection: A trust can help protect personal assets from creditors or other legal claims. This can be especially important if the individual faces financial hardship or legal challenges.
  2. Medicaid Planning: For individuals who are aging or facing significant health issues, a trust can be used to help protect assets while qualifying for Medicaid or other public assistance programs.
  3. Avoiding Probate: When someone passes away, their estate typically goes through probate, which can be a long and expensive process. A trust can help bypass this, allowing for a smoother transfer of assets to heirs or beneficiaries.
  4. Ensuring Financial Support for Dependents: Even if someone has limited assets, they may want to ensure that dependents (like children, aging parents, or a spouse) are taken care of if something happens to them. A trust can specify how assets are distributed and ensure that those dependents are supported, even if the person has little wealth.
  5. Control Over Distribution: With a Trust, an individual can specify exactly how and when their assets are distributed, which can be helpful if they have specific wishes, such as a gradual distribution to avoid making beneficiaries too wealthy too quickly.
  6. Increased Financial Stability: For individuals with a modest income but some assets (e.g., a small home, life insurance policy, or savings), a trust can offer a way to manage and preserve wealth for the future, helping ensure that they leave something behind for loved ones.

Ultimately, a Trust can provide peace of mind for individuals, regardless of income, knowing their wishes will be honored and their assets protected. Our Estate Planning experts at Saunders, Walsh & Beard look forward to discussing this with you. To see what type of Trust would be best for your situation, give us a call today.

Categories Trusts & Estate Planning, Wills

Advantages of a Trust over a Will in Texas

Author Rosemary Weiland Categories Trusts & Estate Planning, Wills Posted on

Estate Planning Attorney Near Me

When it comes to estate planning in Texas, trusts offer several advantages over wills. Here’s why you might consider using a trust instead of a will:

Avoiding Probate

One of the most significant benefits of a trust is that it allows your heirs to avoid the probate process entirely. This can save them considerable time and money, as they won’t have to wait for approval from the probate court to inherit property. In contrast, a will must go through probate, which can be time-consuming and costly.

Enhanced Privacy

Unlike wills, which become public record once entered into probate, trusts remain private documents. This means that the details of your estate and beneficiaries are not accessible to the public, protecting your family’s privacy.

Flexibility in Asset Distribution

Trusts allow for more sophisticated asset distribution plans. You can specify conditions for asset distribution, such as beneficiaries reaching a certain age or achieving specific milestones. This level of control is typically not possible with a will.

Protection in Case of Incapacity

A trust can offer protection if you become disabled or incapacitated. By designating a trustee, your assets can be managed on your behalf, and your family can access them immediately. Wills generally do not provide this capability.

Reduced Potential for Disputes

Trusts are much more difficult to contest in court compared to wills. This can help avoid expensive and unnecessary fights among beneficiaries, ensuring your wishes are followed after your passing.

Special Needs Planning

If you have an heir with special needs, a trust can be particularly beneficial. It allows you to provide for them without disqualifying them from receiving important government benefits, which could happen if assets were left to them directly through a will.

Control Over Asset Distribution

With a trust, you can maintain control over how and when your assets are distributed. This is particularly useful in situations involving blended families or when you want to ensure responsible management of inherited assets.

While establishing a trust may be more complex and costly upfront than drafting a will, the long-term benefits often outweigh these initial drawbacks. Trusts provide a more flexible, efficient, and private means of managing and distributing your assets after your death, making them an optimal choice for many Texans.

Remember, while trusts offer many advantages, it’s essential to consult with an experienced estate planning attorney to determine the best approach for your specific circumstances and ensure your estate planning documents are properly prepared and legally sound. Mr. Michael A. Weaver, Partner at Saunders, Walsh & Beard, specializes in estate planning law. Call us today to schedule your consultation with Mr. Weaver.