You understand the importance of planning for the future, and this is why you’ve made it a point to create a meaningful estate plan. Your plan includes a will, health care directives and more. However, you may assume these are the only things you should consider for your plan in order to have the full amount of protection you need. In order to accomplish specific things, you may need to consider the benefits of a trust.
A trust is an estate planning tool that allows you set aside and protect assets for a specific purpose. If you want to accomplish something specific, such as charitable giving, this could be a beneficial addition your existing plan. A trust is not something only reserved for the wealthy, but it is a prudent step for individuals who simply want more direct control over their wealth.
What can it do?
There are several different types of trusts for you to consider, and the optimal choice depends on your specific goals. Examples include charitable giving trusts, special needs trusts, spendthrift trusts, revocable trusts and much more. Some of the primary benefits associated with establishing a trust include:
- More control – A trust allows you the opportunity to specify the terms of the trust and who will oversee administration of the trust. This allows you more control over your assets, even after your passing.
- More privacy – Assets kept in a trust will not have to go through the probate process. This allows you more privacy and keeps the details of your estate from the public.
- More benefit – A trust can help you accomplish specific goals you wish to achieve in the name of your legacy and for the benefit of your heirs and beneficiaries.
A careful evaluation of your estate can help you specify which type of trust may be the most beneficial for your situation and unique objectives.
Updating an existing plan or creating a plan from scratch is an important step for any New Jersey adult. If you have specific ideas you want to accomplish with your wealth in the future, a trust could be the best option for you. If you are unsure of what you need in order to have a complete plan, it may be helpful to start by seeking additional information about the benefits of trusts and other estate planning tools.