March 23, 2018

What is a Revocable Living Trust?

A revocable trust is a trust that is established and maintained during the creator’s (trustor) lifetime and may be changed, modified, and even terminated during the life of its creator.

Is a Revocable Living Trust just a tax loophole that the government may close down?

No. The Revocable Living Trust (RLT) has been authorized by the law for centuries. The RLT can be utilized to reduce or eliminate estate taxes based on the tax laws in effect at the death of the trustor.

Is a Revocable Living Trust recommended for a single person?

Yes. If you are widowed, divorced, or unmarried, a Living Trust protects your estate. It completely eliminates Probate, while providing you with a unified incapacity plan (Healthcare Directive).  What is a Health Care Directive (aka Living Will)?

Are there any major disadvantages in having a Revocable Living Trust?

No. You have complete control of all assets in your trust, and you are free to manage your trust in any way. Also, because your trust is revocable, you retain the right to make any changes in it while you are alive and competent.