They say that you should use the right tool for the right job, and there are many different tools that can be used when you are planning your estate. The optimal course of action will vary depending on the circumstances. Trusts can be used to accomplish numerous different objectives, but all trusts are not created equal. There are revocable trusts, and there are irrevocable trusts. On the surface, the general difference is self-evident: you can revoke or rescind one type of trust, and you … [Read more...] about What Is an Irrevocable Trust?
How Much Does a Special Needs Trust Cost?
There are various different ways to facilitate asset transfers to your heirs. When you are making decisions, you should evaluate the life situation of each person on your inheritance list. You can provide for each person optimally if you act in an informed manner. Special Needs Trusts Special needs trusts are primarily used to preserve government benefits. Many people with disabilities are enrolled in government benefit programs that are only available to individuals who can demonstrate … [Read more...] about How Much Does a Special Needs Trust Cost?
What Happens to a Living Trust When One Spouse Dies?
Before we explain the intricacies of living trusts as they apply to married couples, we should examine the value of these trusts in general. You may assume that a last will is the best option when you are planning your estate. Many people are under the impression that trusts are only useful for those who are very wealthy. This is not entirely true. There are trusts that are used to satisfy the objectives of the wealthy, but there are other types of trusts that are useful for people of … [Read more...] about What Happens to a Living Trust When One Spouse Dies?
What Is a Grantor Retained Annuity Trust?
A grantor retained annuity trust (GRAT) could potentially be useful if you are exposed to the federal estate tax. Before we explain the value of these trusts, we should provide some information about the estate tax so that you can determine whether or not you are exposed. Federal Estate Tax Parameters Everyone does not pay the federal estate tax, because there is a relatively large credit or exclusion. The portion of the estate that exceeds the amount of this exclusion would potentially be … [Read more...] about What Is a Grantor Retained Annuity Trust?
What Is a Qualified Domestic Trust?
Before we explain the purpose of a qualified domestic trust, we should provide some background information about the federal estate tax and the unlimited marital deduction. Estate Tax Parameters There is a federal estate tax that is potentially applicable on large asset transfers. During the current calendar year, the amount of the federal estate tax credit or exclusion is $5.34 million. You can leave behind as much as $5.34 million tax-free. Anything that you pass along that exceeds this … [Read more...] about What Is a Qualified Domestic Trust?
What Is a Supplemental Needs Trust?
You have a number of choices to make when you are planning your estate. There are various different vehicles of asset transfer that can be utilized. When you act in an informed manner, you can be certain that all of your loved ones are provided for appropriately. With this in mind, we would like to look at the value of supplemental needs trusts in this post. Protecting Government Benefits If you have someone with a disability on your inheritance list, you must take measured steps. A high … [Read more...] about What Is a Supplemental Needs Trust?
What Are the Differences Between a Revocable Living Trust and a Medicaid/Medi-Cal Trust?
There are different types of trusts that are used for different purposes. One of the major distinctions between trusts is that some of them are revocable, and some of them are irrevocable. First, we will look at a common type of revocable trust called a revocable living trust, and we will then draw a contrast between this type of trust and a Medicaid/Medi-Cal trust. Revocable Living Trusts A revocable living trust is largely utilized as a tool to facilitate the avoidance of probate. When … [Read more...] about What Are the Differences Between a Revocable Living Trust and a Medicaid/Medi-Cal Trust?
Free Living Trust Seminars Coming In May
We make an effort to get out into the community on an ongoing basis to bring good information to people here in the greater San Jose area. To this end, we present an ongoing series of informational sessions that cover various different elder care and estate planning topics. Our workshops and seminars are free of charge and open to the general public. During the month of May, we will be offering seminars that focus on the subject of living trusts. Why Consider a Living Trust? Some people are … [Read more...] about Free Living Trust Seminars Coming In May
Do I Lose Control of My Property If I Establish a Living Trust?
You have many different options when you are arranging for the eventual transfer of your monetary assets to your loved ones. The utilization of a last will is going to come to mind, but you can also consider alternatives. If you retain personal ownership of your property up until the time of your death and arrange for its transfer through the terms of a last will, the probate process will become a factor. A last will must be admitted to probate. The probate court will determine the validity of … [Read more...] about Do I Lose Control of My Property If I Establish a Living Trust?
What Are the Disadvantages of a Medi-Cal Trust?
The government run health insurance program for people with significant financial need is called Medi-Cal in most of the 50 states. In California, this program is called Medi-Cal. This is a program that is jointly administered by the federal government along with each respective state government. Every state has a certain amount of latitude with regard to the precise way that the program is administered. Based on Need Medi-Cal eligibility is based on financial need. There are rather complex … [Read more...] about What Are the Disadvantages of a Medi-Cal Trust?
