Many people hear the word “trust” and assume it’s something only wealthy individuals need. While it’s true that trusts are often used by high-net-worth individuals, families with more modest means can also benefit. Here are seven reasons why you might want to consider a trust for your family:
Control the Distribution of Assets
You wouldn’t hand over your car keys to someone without proper preparation, and the same should apply to your assets. Without a trust, your children may inherit everything outright when they turn 18. A trust allows you to dictate when your children receive their inheritance and how it can be used.
Protect Assets from Creditors and Ex-Spouses
By placing an inheritance in a trust, you can shield those assets from your adult children’s creditors or ex-spouses. Proper planning can help prevent your hard-earned money from ending up in the wrong hands.
Also read about "Top 5 Reasons to Use a Trust"
Safeguard Inheritance from Spendthrift Heirs
Not everyone manages money well, especially when it’s a large lump sum. A trust can protect your assets from being spent recklessly by heirs who may struggle with financial responsibility.
Provide for Children from a Prior Marriage
If you have children from a previous marriage, a trust can ensure they are provided for, along with your current spouse and children. This can help avoid potential family conflicts and ensures everyone is cared for according to your wishes.
Support a Special Needs Heir
Leaving assets outright to a loved one with special needs could jeopardize their eligibility for government benefits. A trust allows you to provide for their needs without putting those benefits at risk.
Avoid Probate
With a trust, your assets can pass to your heirs without going through probate, saving them time, money, and stress. Probate can be expensive, time-consuming, and public—none of which is necessary when you have a trust in place.
Protect Your Family’s Privacy
Wills entered into probate become part of the public record, potentially exposing your estate to creditors and opportunists. A trust remains private, allowing your estate to be managed discreetly between your heirs and their attorney.
We Can Help!
If you’re ready to take this important step, we’re here to assist. We’ll work with you to develop a comprehensive estate plan that protects your assets, honors your wishes, and provides for all your loved ones. Start by booking a Peace of Mind Planning Session. Normally $450—mention this blog, and we’ll discount the consultation fee. [Consultation Session]
Call us at: 718-475-2115
Email: support@bartallaw.com