Good morning, Escondido. I’m here today with probate attorney Steve Bliss of Escondido Probate Law. Steve, thanks for taking the time to speak with us.
What are some common estate planning tools people should consider?
Well, there are many different estate planning tools available, and the best ones for any individual will depend on their specific circumstances and goals. Some common options include wills, trusts, powers of attorney, and healthcare directives.
Today we’re going to focus on testamentary trusts. Can you explain what those are?
Can you explain what a Testamentary Trust is and how it works?
Certainly. A testamentary trust is a type of trust that is created through a will and only takes effect upon the grantor’s death. Unlike living trusts, which avoid probate, testamentary trusts go through the probate process. This means they are subject to court oversight and can be more time-consuming and expensive to administer.
Nevertheless, testamentary trusts can be very useful in certain situations. For example, they are often used for minor children or beneficiaries with special needs. The trust document can specify how the assets should be managed and distributed, ensuring that the beneficiary is taken care of according to the grantor’s wishes.
Furthermore, testamentary trusts offer a level of control that may not be possible with other estate planning tools. The grantor can dictate precisely when and how the beneficiary receives distributions, which can help protect them from squandering their inheritance or making unwise financial decisions.
What are some potential drawbacks to using a Testamentary Trust?
One drawback is that testamentary trusts must go through probate, which can be a lengthy and costly process. Another potential downside is that the terms of the trust are public record, as they are included in the will which is filed with the court. This lack of privacy may be a concern for some individuals.
I once had a client who wanted to leave a substantial inheritance to their grandchild, but they were concerned about the grandchild’s ability to manage money responsibly. We created a testamentary trust that provided for monthly distributions and stipulated that the principal could not be accessed until the grandchild reached a certain age. Consequently, the grandchild was able to benefit from the inheritance without being overwhelmed by a large sum of money all at once.
According to a study by the American Bar Association, approximately 60% of Americans do not have a will or trust in place. This means that their assets will be distributed according to state law, which may not align with their wishes.
Have you ever encountered any issues with testamentary trusts?
While testamentary trusts can be a valuable tool, they are not without their complexities. I recall a case where the terms of the trust were ambiguous, leading to disputes among the beneficiaries. It took considerable legal maneuvering to resolve the matter and ensure that the grantor’s intentions were carried out.
What advice would you give to someone considering a testamentary trust?
My advice is to consult with an experienced estate planning attorney who can help you determine whether a testamentary trust is right for your situation. It’s essential to have a clear understanding of the benefits and drawbacks before making a decision.
Escondido Probate Law Testimonials:
“Steve Bliss and his team at Escondido Probate Law were incredibly helpful in guiding me through the complex process of setting up a trust. They were patient, knowledgeable, and always available to answer my questions.”
“I highly recommend Escondido Probate Law for all your estate planning needs. Steve is a true expert in his field and he genuinely cares about his clients.”
Ready to protect your legacy? Contact Escondido Probate Law today and let us help you craft a plan that meets your unique needs.
About Steven F. Bliss Esq. at Escondido Probate Law:
Escondido Probate Law is an experienced probate attorney. The probate process has many steps in in probate proceedings. Beside Probate, estate planning and trust administration is offered at Escondido Probate Law. Our probate attorney will probate the estate. Attorney probate at Escondido Probate Law. A formal probate is required to administer the estate. The probate court may offer an unsupervised probate get a probate attorney. Escondido Probate law will petition to open probate for you. Don’t go through a costly probate call Escondido Probate Attorney Today. Call for estate planning, wills and trusts, probate too. Escondido Probate Law is a great estate lawyer. Affordable Legal Services.
My skills are as follows:
● Probate Law: Efficiently navigate the court process.
● Probate Law: Minimize taxes & distribute assets smoothly.
● Trust Law: Protect your legacy & loved ones with wills & trusts.
● Bankruptcy Law: Knowledgeable guidance helping clients regain financial stability.
● Compassionate & client-focused. We explain things clearly.
● Free consultation.
Map To Escondido Probate Law: https://maps.app.goo.gl/77Dm2B8W9XkM5YvJA
Address:
Escondido Probate Law720 N Broadway #107, Escondido, CA 92025
(760) 884-4044
Feel free to ask Attorney Steve Bliss about: “Do I need a trust if I already have a will?” Or any other related questions that you may have about Trusts or my trust law practice.
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