How Trusts can Help People Who do Not Have a Lot of Assets

Estate planning is an uncomfortable process. Most people find it difficult to consider how their belongings will be distributed following their death. If you fail to make these choices, however, the alternatives are often much less desirable.  Not only does failure to create an adequate estate plan increase the chances that fighting will occur in your family, unnecessary taxes are also common. These challenges as well as many others can be avoided through the creation of a trust.  Despite this, the myth persists that trusts are only for the extremely wealthy and that they take a great deal of funds upfront to create. In reality, trusts are a powerful tool for most people because they offer the ability to great simplify things after a person’s death.  The Role of Trusts There are a number of different types of trusts that can be made part of a person’s estate plan. The most common type of trust used is a revocable living trust, which lets a person clearly outline how assets in an estate will be administered following that person’s death.  Trusts also let people avoid the probate process, which is the legal process through which a will is declared valid. Many     Read More