Setting Up a Living Trust-Centered Estate Plan

The creation of a will is a vital first step to providing for your loved ones after you are gone. However, this document may not be the best way to pass your property on to your heirs. If you have significant assets or want to control the distribution of your wealth to your children, a revocable living trust may be a better way to achieve the peace of mind you deserve.

Benefits of Using a Living Trust as the Basis of Your Estate Plan

A California living trust is a legal entity that holds ownership of some or all of your assets during your lifetime. Instead of owning these assets personally, they are held by the trust Living Trust and Estate Planning Kavesh Minor & Otis and you act as trustee. Upon your death, the assets in the trust are passed to the people you have selected as beneficiaries.

Living trusts are a powerful estate planning tool, as they allow the creator to:

Control assets.

As trustee, you have the power to decide when and how your assets will be used. You can continue to add new holdings to the trust, sell off assets, or even cancel the trust at any time. You also have the power to choose, add, or change beneficiaries as your life circumstances change. Unlike will-based plans, you don’t have to wait until your passing to distribute trust assets to your beneficiaries; you can gift funds and possessions from the trust at any time.

Protect assets from creditors.

We offer a Personal Asset Trust to protect your beneficiaries from those who seek to capitalize on their inheritances, including spouses, parties in a lawsuit, and other creditors.

Avoid probate.

Will-based plans are required to go through the California probate process, incurring attorney fees and forcing beneficiaries to wait months before receiving their inheritances. Any assets in a living trust will pass directly to beneficiaries without the need for probate.

Maintain privacy.

Probate is a matter of public record, meaning the details of your assets, holdings, and beneficiaries will be available for all to see. Trust documents keep your property and your family’s business away from prying eyes.

Minimize taxes.

While there is no estate tax levied by the state of California, the federal government does collect estate tax on the transfer of high-value estates. A living trust helps reduce or eliminate federal estate taxes for a married couple, passing assets from one spouse to another without imposing taxes.

Protect their future health.

Living trusts provide protection if you are suddenly unable to manage your affairs. If you become incapacitated, control of all trust assets immediately passes into the hands of your successor trustee, allowing them to make decisions about trust assets without the need to go to court.

How Do I Create My Own Living Trust?

Living trusts are created with a trust document. A trust document is a legal contract that outlines the details of the trust, including who will act as trustee, how it will be run, names of beneficiaries, and how and when distributions will be made. Once the document has been completed, it must be signed in front of a notary public.

While you do not need an estate planning attorney to print and sign a trust document, the trust will not be functional until you have transferred ownership of your assets into the trust. This mistake happens all too often, as people assume they are protected while their trust sits empty—costing their heirs thousands after their death. When we create your living trust, we ensure the right people will inherit your assets, at the right times, and on the right terms.

At The Law Firm of Kavesh, Minor & Otis, Inc., we understand that there is a stark difference between estate plans that work properly and those that don’t. Our experienced legal team can create a comprehensive and customized plan to give your family peace of mind. Contact us today to get started!

Do You Need To Speak With An Attorney About Estate Planning?

If you need to speak with an experienced estate planning lawyer please contact us online or call us directly at 800.756.5596 to first register for one of our free, informative seminars. Your attendance will qualify you for a special discount for our estate planning services should you decide to make a free appointment at the conclusion of the seminar and choose to proceed with us. We proudly serve clients throughout California with offices in Torrance, Newport Beach, Orange, Woodland Hills and Pasadena.

When You Want the Very Best for Your Loved Ones, Choose Us.

Experience and Expertise. Estate planning and post-death administration are all we do. Our attorneys have over 70 years of combined expertise in the field, and three of our attorneys have passed an additional Bar examination and peer review process to become State Bar Certified Specialists in Estate Planning, Trust and Probate Law. Two of our attorneys also have Master’s Degrees in Tax Law, giving us unique insight into how estate tax and income tax will affect your family’s inheritance.

Customization and Attention to Detail. Before we create or update your estate plan, we get to know you, your goals, and what matters to you most. We take the time to listen to your concerns and attend to each of your unique needs and desires as if they were our own. When we complete your plan, we perform a detailed quality control process to help ensure your objectives are met. We also provide you with a personalized Owner’s Manual containing all of your important documents, and your Successor Trustee with a Manual containing helpful, plain-English checklists and easy-to-follow procedures.

Lifetime Relationship. All of our estate plans include a free ongoing service package. We take phone calls any time you have questions, perform free estate planning checkups every three years, and keep you abreast of changes in the law and planning strategies with our complimentary newsletters and educational seminars. And, when the time comes, we will be there to help your trustee and loved ones.