Most people have the general understanding of the most basic of estate planning tools which is known as a will, but what about trusts? Trusts and wills can work independently of one another but can also work very well together. This is only possible when you have a knowledgeable estate planning lawyer to craft your trust or your will and help explain to you how this can impact your future.
A trust adds a layer of privacy and control that is not available with wills. This is why many people choose to also invest in the creation of a trust. Trusts come in many different forms but the two most important and frequently used versions are revocable and irrevocable trusts. A revocable trust is created for your benefit during your lifetime with the possibility of passing assets to loved ones after you pass away, at which point a successor trustee is named.
An irrevocable trust, you cannot make changes to or dissolve the trust once it has been created but provides more liability and creditor protection because the trust really owns the assets and a trustee manages them, not you. A trust can make an excellent supplement to your existing estate plan or could work independently of your will. To learn more about how this could work for you, schedule a consultation with an attorney.