Must-Do’s Before Writing a Living Trust
Despite what people may think, you don’t need millions or billions of dollars in the bank in order to need an estate plan and living trust. The intention of establishing a living trust is to protect your assets and ensure that they get into the hands of those who you want to have it after passing on. An attorney can help create a living trust, regardless of the monetary value of your assets. Even assets of sentimental value are surely worth safeguarding so you can pass them along into the future generations of your loved ones.
What is a Living Trust?
A living trust enables a person to have peace of mind that their family will be taken care of, along with their wishes being followed after passing away. When written correctly with help from a wills and trusts lawyer, like a wills and trusts lawyer in Sacramento, CA, a living trust can also see to it that assets are distributed to beneficiaries promptly — avoiding extra taxes while keeping your information private from the public.
Writing a living trust is probably going to be one of the most influential documents you will establish in your lifetime. A skilled attorney can guide you through every step and answer questions along the way. Here are a few tasks to be done so you can get started:
Create a List of Assets
In order to protect your assets, you need to know what you have! Write down everything you own, including things like your home, vehicles, art collections, jewelry, bonds, life insurance policies, 401K, and stocks. List both tangible and intangible assets. With this list, you can figure out how you want to distribute your things after having passed on.
Gather Paperwork for Your Assets
Once you have your list of assets, it is time to include paperwork such as stock certificates, titles, deeds, policies, contracts, agreements, and anything else related to your estate. Having this information organized in a file can give your attorney an idea of what you are working with so he or she can offer advice.
Choose Your Beneficiaries
In your living trust, you will have to write the names of the beneficiaries that you want to receive your assets after death. Beneficiaries can be your partner, family members, friends, or charity organizations. An attorney may have you consider who you surely don’t want to get a portion of your assets too, and including a clause in your living trust so that people cannot fight for a percentage later on.
By completing these first few tasks, you have set the foundation for creating an estate plan that you know will reflect your wishes. No matter what stage you are currently working on your living trust, an attorney can provide the assistance you need.
Thanks to Yee Law Group, PC for their insight into what you should be doing to begin creating a living trust.