A living trust is a reliable, flexible document that can be used to protect an individual’s financial assets prior to death. Putting a revocable trust in place protects real estate, cash assets, and other valuables and makes it possible to transfer these assets directly to an heir.
A Living Trust Helps Loved Ones Avoid Complications
The “family home” is often the most valuable assets many people wish to leave to their heirs within their estate. Without a revocable trust, estates worth more than $100,000 must be processed through probate which takes time, costs money, and can delay the sale of property within the estate if the beneficiaries need to sell it. Moreover, if the home still has a mortgage, this can leave heirs struggling to keep up with the additional expense to their budget.
Probate takes a considerable amount of time. The larger the estate, the longer it will take. When a living will lawyer transfers these assets into a trust, assets pass directly to the heirs upon death. This saves time and conserves financial resources that can be consumed by the probate process.
Failing to set up a living trust can also create familial conflicts. When an individual dies intestate without a will or living trust in place, the courts then decide who gets what from the estate. This decision will be based on a hierarchy of relationship with the deceased and can cause interpersonal conflict and legal challenges as spouses, children, siblings, and distant relatives reach for a piece of the estate. When conflict is present, it is not uncommon for expenses to add up and the process to drag on for years.
Finally, dying without a living trust ties up cash assets that may be needed to pay an individual’s final bills. This means that an individual’s heirs can be left to cover funeral expenses, utility statements, medical bills, etc. out-of-pocket until the probate process concludes.
Living will lawyers in Illinois can help set up a revocable living trust so that an individual’s assets will be protected. These documents can be amended as an individual’s financial situation and last wishes evolve and change. Thus, they are not documents just for the old and sick, but rather for anyone who has assets they want to protect and pass on to heirs when they die.