Like most people, you probably don’t have a trust set up. But trusts have been around for hundreds of years. Trusts can be useful tools for planning how to take care of your estate and your loved ones. Here are some reasons why you should consider setting up a trust, and some reasons not to.
Reasons to Create a Trust
(1) Trusts allow you to avoid probate.
Any assets that you put into a trust will not have to go through a court-ordered probate process. Depending on your state and your situation, probate can be expensive, adversarial, time consuming, and invasive to your family’s privacy.
Instead, with a trust, assets go directly to your loved ones according to your wishes.
(2) Setting up a trust is simpler than you think.
With Gentreo, you can create trust in just a few minutes. Signing and notarizing the documents, and putting your assets into the trust, will take longer.
Reasons Not to Create a Trust
(1) You don’t have many assets.
If you don’t have many assets, a simple Will may be all you need. It may not be worthwhile to take the time to set up and fund your trust. For most Americans, a Will-based estate plan will satisfy estate planning needs.
(3) You don’t want to re-title your assets.
A trust is only as effective for the assets the trust holds. To put assets into the trust, you have to re-title assets like your home or car. If for some reason you don’t want to transfer assets or you can’t, a trust wouldn’t be useful for you.