Probate proceedings can become expensive and delayed. Property which you will transfer to a trust will not have to go through probate.
Proceedings in probate court are public record. Any person or organization will be able to find out the extent and location of your assets. Not so with trusts.
Avoids Multiple-State Probate Proceedings
If you have property in multiple states, you can avoid ancillary probate proceedings by transferring your property into a trust. Upon your death, the property will pass according to the trust and multi-state Surrogate’s Court proceedings will not be required.
Avoids Interruption of Income and Use of Assets
A trust provides for the continuity of management of your assets, and avoids interruption of income and use of assets upon your death or disability. Without a trust, your estate or business may be subject to restrictions imposed by probate court.
Provides Planning for Mental Disability
A trust lets you select a trustee – someone you trust to manage your estate on your behalf in the event you become unable to do so yourself. Read more in Planning for Disability
Helps Save Money on Estate Taxes
Trusts can help you legally save a substantial amount on estate taxes. Read How to Avoid Estate Taxes to learn more about the credit shelter trust the life insurance trust. A “QTIP” trust or a QDT trust for the benefit of your spouse can further your tax savings goals.
A Charitable Remainder Trust (CRT) or a Charitable Lead Trust (CLT) will help you maximize your tax advantage per charitable dollar. A Grantor Retained Annuity Trusts (GRAT), an Intentionally Defective Grantor Trusts (IDGT), or a Unitrust are advanced trusts that remove appreciation of your property from your estate. Read more in Advanced Estate Planning.
Call the Law Offices of Albert Goodwin at (212) 233-1233 and make an appointment to discuss your estate planning needs.