Living Trusts
After your passing, your assets including real property may go to a person you do not want. If you do not have a living trust, then the state of California decides who gets what, using its rules, which may be totally different from your wishes.
By creating a living trust, we help our clients understand their estate planning needs, including when it makes sense to create a trust. We communicate carefully so you can relax and understand each step.
If your real property is worth at least $55,425 or all your assets are worth $166,250 or more, and you die without a living trust, then your loved ones will have to go through the long process of Probate Court even if you have a will. However, we can help you and your family avoid costly, time-consuming, and stressful probate court proceedings.
Call us today to learn how to save your home and your family’s future.
REVOCABLE LIVING TRUST:
Establishing a revocable living trust (also known as a grantor trust) is beneficial if you own real property. This trust is used to hold assets, typically real estate. The beneficiary of the trust is the same person who created the trust. A trust document is private, it does not have to be filed with any court or public records, and the revocable trust is not a separate legal entity, so it does not need to pay taxes on profits generated by assets owned by the trust. The main purpose of the trust is to allow the estate to avoid a costly probate.
IRREVOCABLE LIVING TRUST:
Here at First Class Counsel, we also specialize in setting up different types of living trusts such as Irrevocable living trusts. This type of Trust is created and funded during your lifetime. It is designed to protect your assets, generates life time income, and passes on assets to beneficiaries after your passing.
IRREVOCABLE LIFE INSURANCE TRUST:
The Irrevocable Life Insurance Trust is designed to hold proceeds of life insurance policies, so you can prevent estate taxes from applying to the policies.
SPECIAL NEEDS TRUST:
The Special Needs Trust is designed to care for the interests of and protect the federal benefits and advantages of your children with disabilities and special needs.
ASSET PROTECTION TRUST:
The Asset Protection Trust is designed to protect your assets from creditors. It restricts access of creditors to your assets in the trust in case of legal judgments.
CHARITABLE REMAINDER TRUST:
The Charitable Remainder Trust allows you to transfer assets into the trust, continue to enjoy the income generated from the management of those assets, and allow for the remainder of your assets to pass on to a charitable organization of your choice.
GRANTOR RETAINED INCOME TRUST:
The Grantor Retained Income Trust allows you to transfer property or assets to the trust, enjoy the proceeds of those investments for some time. After the period of time ends, you can transfer the assets to the beneficiaries of your choice.
QUALIFIED PERSONAL RESIDENCE TRUST:
The Qualified Personal Residence Trust Allows you to transfer your primary or secondary home to the trust, essentially freeze the current value of the trust, so you can avoid costly taxes that would apply to any increase in the value of your property.
If you would like to know which one of these trusts benefits your situation, please contact us.
