Protect Privacy and Loved Ones With a Trust

During the process of estate planning Honolulu, residents have a lot to consider. There are many ways for people to direct where their assets go after they pass away. Modern families are very different from those of a few decades ago, and this has created a lot of challenging situations. A revocable trust protects people with unique circumstances or complicated families. It is one of the most secure tools available to anyone that wants to provide an inheritance to specific loved ones.

Avoid any Delays

The probate system forces every heir, and even spouses, to wait for their inheritance until the legal system completes its paperwork. Delays occur if there are challenges to the will, items left in limbo, or paperwork errors. A trust eliminates the need for the wait because the property is transferred to the beneficiary immediately.

Choose the Beneficiary

There are loopholes that prevent wills from being the final word about who gets certain inheritances. Minor children and disabled adults are the most at risk because their inheritances are put in the hands of others to disperse, and not all guardians manage the assets properly. A trust prevents this type of action and allows people to choose additional beneficiaries if the original heir passes away prior to the person that established the trust.

Save Some Money

A revocable trust avoids court and filing fees and reduces future lawyer fees. If the trust is established for someone with a disability, it will not be factored into their income like a direct inheritance from a will. An inheritance could cause people to become ineligible for government programs, but that is not a concern with a trust. Beneficiaries also do not have to pay taxes on what they receive from the trust because the person that establishes it will have already paid income tax.

Maintain Family Privacy

Not everyone wants the details of their private lives made public, but that does occur during the probate process. Anyone that wishes to can view a will when it goes to probate. Trusts are personal documents, and the details are kept private.

A trust does not eliminate the need for a will, a living will, and other legal documents. However, it is a powerful tool that can provide protection for loved ones and peace of mind for everyone involved. It is important to work with an estate planning attorney in Honolulu to make certain the documents are prepared and filed correctly to prevent challenges or other issues.