Wills, Trusts & Estate Planning

Two primary means for transferring your estate to your beneficiaries after your death is through either a will or a revocable trust. Both methods have pros and cons that require careful consideration of your unique situation, the type and location of your assets, the size of your estate, and your personal preferences. The main reasons that clients choose to use a revocable trust is the ability to avoid probate, privacy, and incapacity or disability planning. After the trust is signed, it is necessary to assign your assets to the trust. When the revocable living trust has been funded, it is considered active. By contrast, a will only become effective upon death. Regardless of whether you elect to use a will or revocable trust as your primary estate plan document, it is important to review your documents every three to five years to keep pace with changes in your life and family, nature and value of assets, and changes in tax laws.

In addition to the preparation of either a will or revocable trust, an estate plan would not be complete without a durable power of attorney. A durable power of attorney is a powerful document that allows your agent or “attorney in fact” to act on your behalf if you are unable to do so. Through the power of attorney document, your agent has the authority to manage retirement and bank accounts, life insurance, health insurance, government benefits, and even something as mundane as your utilities.

In addition to the preparation of either a will or revocable trust, an estate plan would not be complete without an advance directive. An advance directive for health care allows you to appoint a representative to manage your health care when you are unable to speak for yourself. It also lets your representative know your wishes regarding end-of-life care.

Irrevocable trusts can be established during your lifetime for a variety of purposes including estate tax planning, asset management and protection for beneficiaries or charitable giving. Common examples of irrevocable trusts include insurance trusts, generation skipping transfer trusts (GST trusts), grantor trusts, intentionally defective grantor trusts (IDGT), spousal trusts (SLATs), charitable trusts (CRUTS or CRATS), and planning for blended families.

These are trusts that are created upon your death through your will or revocable trust. They often include trusts for spouses, children, grandchildren, young adults, or beneficiaries with special needs or who are otherwise unable to manage their resources. The goals of these trusts are often estate tax planning and/or asset management or protection.

Our expertise also includes working with clients to review, update or restructure business entities in order to accommodate family succession planning. For more information about ways we serve business owners, see our Business Law page.