Not all living trusts are created equal—and for good reason. A living trust will depend on the individual’s life circumstances and their financial capacity. If you are unmarried or plan not to be married, and you have very few assets and no children, then you may not need to have a living trust. The same situation would apply even if you were married and have very few assets.
Perhaps the most significant drawback to not having a living trust is the fact that your
estate will be subject to the probate process. So, having a living trust is not only cost-saving in the long run, it protects your future and ensures that all of your wishes are carried out.
The second most important drawback of not having a living trust is that the probate process may not distribute your assets in the way that you would like. You can be specific in your living trust about who your beneficiaries will be and to what extent they should expect to receive an inheritance or another benefit.
As a general rule of thumb, if your assets total less than $150, 000, then you may not need a living trust. For obvious reasons, the more value that you have in your assets and properties, the more important it is to protect those assets. In turn, this is why having a living trust is important for those individuals.
Should you have any questions about the probate process, please do not hesitate to reach out to us our Folsom trust attorney. Travis G. Black & Associates can assist you with planning your estate.
We have helped countless families with the following:
- Living trusts
- Creation of a will
- Naming of executors and guardians
Call us today at (916) 962-2896 to request your free case review.