You have the option of implementing a trust into your estate plan. A trust is a legal document that arranges for a trustee to manage your assets and disperse them as instructed. Compared to a will, a trust can protect your assets from estate taxes, probate and disputes.
A revocable trust is one of the most common. This trust allows you to alter the contents of the trust at any time. There are many different trusts with different uses and objectives. Here are a few trusts you may want to learn more about:
1. Pet trust
Do you have a pet? Is it possible that your pet could live longer than you? Do you worry about how your pet might be cared for after you pass away? That is why a pet trust could help you.
A pet trust arranges for trust funds to be used for the continued care of your pet. Funds can be used to provide your furry, feathery or scaly friend with their basic needs, such as food, medicine, shelter, vet bills and care.
2. Incentive trust
Do you wish for your assets to be used for a specific cause? Do you want your beneficiaries to work toward a specific goal? You could make an incentive trust to help ensure your assets are put toward a good cause.
An incentive trust allows you to create a clause that must be met if your beneficiaries want access to funds. For example, you may require a beneficiary to graduate from college before they can use any trust funds.
Legal help is available if you wish to learn more about your trust options — or any estate planning choices.
