Our Boston lawyers have been helping clients plan for the future since 1935. One of the tools we recommend, when appropriate, is a revocable living trust. This instrument can be very useful, allowing individuals to avoid the expense and time required by the probate process and distributing assets to heirs more quickly. It also prevents public scrutiny of an estate, as there is no public proceeding required to transfer the assets held by a trust. In certain circumstances, a variation of a revocable living trust, called an A/B Trust, can provide estate tax savings. For more information about the benefits of a revocable living trust, contact an estate-planning lawyer at Taylor, Ganson & Perrin, LLP.
Revocable living trusts avoid probate, distribute assets quickly, offer privacy, and provide estate tax savings in some cases.
An important advantage of this type of trust is that it prevents the need for guardianship proceedings should the grantor become incapacitated and unable to care for himself or herself. Because the trust is already established with a successor trustee, there is no need for family members to petition the court for appointment of a guardian.
A revocable living trust is established during the lifetime of the grantor, and can be controlled by the grantor acting as trustee. Because the instrument is "revocable", it can be changed or invalidated at any time. It can hold assets such as real estate, bank accounts, and stocks and bonds.
When a living trust is set up, the grantor must name the trustees and beneficiaries of the trust. Trustees for this type of trust are frequently the grantor, although banks and law firms can be trustees of a revocable living trust.
The grantor or trustee must change the ownership of all property that is placed in the trust to the trust itself. This means that upon the death of the grantor, the property in the trust is not owned by the grantor, but by the trust, thus avoiding probate.
For more information about revocable living trusts and to learn whether this type of trust might be appropriate, contact our law firm, Taylor, Ganson & Perrin, LLP.