Trusts Avoid Probate
Assets in a trust can avoid the probate process. Probate occurs when three things are present, and all must be present:
A person dies; and
That same person owns property in their own name; and
That same property has a greater gross value than $61,500 of real estate a/o $184,500 of personal property.
The Trust is a separate legal entity which is capable of owning property. Thus when the trust owns the property, the person does not. When the rules are applied, the question is asked what did the decedent own? When the answer comes back nothing, property was owned by the trust. It is physically impossible to have a probate proceeding, without a probate estate – there must be something that has to go into probate and trust assets do not.
How a Living Trust Works
When you create a living trust, you name yourself as trustee and a trusted relative or bank as the secondary trustee. As long as you are able, you simply do what you want with the funds. If you become incapacitated however your secondary trustee gains access to the funds and takes over so long as you are unable. In accordance with your instructions the secondary trustee takes care of you and your family and pays your bills.
When you die, the secondary trustee disposes of the funds as you have directed to provide for your family. As the funds are in a trust, they were not technically yours at your death and so they do not have to go through probate. This also means that the trust is not a public record and affords privacy to your family.
David R. Schneider has been preparing living trusts for clients in the coastal counties of California since 1999. When a client comes to us, we listen and let the client describe his or her financial situation and family needs. We then propose to the client options to achieve the client’s objectives and due regard to estate planning, tax planning, avoidance of probate and other considerations. We then professionally prepare the documents the client desires.
Do You Need Help with Trusts?
Trusts are vital tools for providing for family needs and have important tax planning benefits. When you create a trust, you put funds into the hands of a trustee with instructions as to how to provide for beneficiaries. An estate planning attorney can assure your trust is drafted properly to carry out your objectives and achieve maximum tax benefit. David Schneider is expert in helping to guide clients involved with an existing trust and answer any questions about trusts.
Trust Lawyer in all California counties, specifically Los Angeles, Orange, Riverside, San Bernardino, San Diego, Santa Barbara & Ventura Counties.
We have assisted clients with trusts throughout, California since 1999. We are a seasoned trust firm offering high quality, personalized service to clients. When clients contact us, we work out comprehensive estate planning to address their unique situations. This may include the creation of one or more trusts for high net-worth clients, or simpler versions to ensure an orderly transition from parent / grandparent to child / grandchild insuring both protection and probate avoidance. Where the trust already exists, we guide trustees or beneficiaries as the situation requires.
Preparation of Trusts
Different Trusts address different needs. Revocable Living Trusts can be used to provide a Trusted relative / friend access to your funds in case of your disability. They are also useful for avoidance of probate. Irrevocable Trusts are used as tax planning tool to minimize estate taxes and also for assets protection. They can additionally be used to facilitate eligibility for Medicaid or Veterans benefits. Special Needs Trusts enables you to provide for incompetent dependents in case of your death or incapacity.
Trust Administration
We are available to assist in trust administration. This can involve guiding a trustee to comply with legal requirements and avoid breach of fiduciary duty. We can also aid trustees involved in litigation or IRS investigations. We also take action for beneficiaries unhappy with the administration of a trust.
Contact an David R. Schneider Trust Attorney to discuss your trust needs.
Integrity and Expertise at the Core of Our Legal Services
With decades of professional expertise, David R. Schneider, APC blends deep community ties with a wealth of experience. From running a successful business to excelling in the legal field with top grades and honors, David’s extensive knowledge ensures comprehensive and trusted legal support. His lifelong commitment to the Conejo Valley and its residents is your assurance of reliable and heartfelt service. Choose a legacy of excellence for your legal needs.