| Alan R. Horvath, Attorney at Law |
| What If I Die With a Trust? |
By creating a trust you form a legal entity, your trust, place your assets in it, and give the trustee ownership
control over those assets. As a result, a trust is significantly more complex, and expensive than a simple will.
However, a trust creates several significant estate planning benefits not available with a will.
Avoids Probate -
Because your assets are in the trust, they are not subject to the probate process at your death. Your
trustee can begin immediately to distribute your estate according to your instructions in the trust.
Make gifts of Use only -
With a will, your gifts are absolute. The person receiving them can dispose of them in any way they want at
their own death. By contrast, with a trust you can give someone access to the use of an asset, or to the
income from it, and still retain the ability to give the asset itself to a third person at the death of the original
beneficiary.
Estate Tax Reduction -
For married couples with sufficiently large estates, it is possible for a trust to be written in a way that
effectively doubles the total assets that can be passed without estate tax.
control over those assets. As a result, a trust is significantly more complex, and expensive than a simple will.
However, a trust creates several significant estate planning benefits not available with a will.
Avoids Probate -
Because your assets are in the trust, they are not subject to the probate process at your death. Your
trustee can begin immediately to distribute your estate according to your instructions in the trust.
Make gifts of Use only -
With a will, your gifts are absolute. The person receiving them can dispose of them in any way they want at
their own death. By contrast, with a trust you can give someone access to the use of an asset, or to the
income from it, and still retain the ability to give the asset itself to a third person at the death of the original
beneficiary.
Estate Tax Reduction -
For married couples with sufficiently large estates, it is possible for a trust to be written in a way that
effectively doubles the total assets that can be passed without estate tax.
| ahorvathlaw@sbcglobal.net |
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P.O. Box 81
596 Mountain Ranch Rd.
San Andreas, CA 95249
596 Mountain Ranch Rd.
San Andreas, CA 95249
| Phone: 209 754-5291 Fax: 209 754-5293 |
| Gift Plans |
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