Once you have created your trust, you are tasked with funding it. Funding your trust is the process of transferring your assets into it. By funding your trust, you avoid court-supervised conservatorship proceedings if you should become incapacitated or die. Any assets forgotten or left out of the trust will be “caught’ in the will. Meaning any assets left out of your trust will have to go through probate.
What Assets Can I Fund My Trust With?
Common assets people fund their trust with include, deeds to their real estate, bank accounts, stocks, bond accounts or certificates. A Folsom estate planning attorney can assist you with the process of funding your trust. At Travis G. Black & Associates, our attorney can review each asset with you and provide you with information regarding the process of transferring it to your living trust.
Property – Your living trust has the ability to hold both separate and community property. By placing your community property into your living trust, you make it convenient for spouses or registered domestic partners to plan for the management and distribution of their assets in one document. If you own real estate in another state you could also transfer the asset into you trust to avoid probate in the other state. Your Folsom estate planning attorney can assist you with the process of transferring out of state property into your living trust.
Life Insurance – Depending on the size of your estate including your life insurance may be a way to maximize the distribution to your beneficiaries. If your estate size is more than the amount exempt from federal estate taxes, including your life insurance plan may not be the best option. Additionally, if your estate will not value over the exempt amount before transferring your life insurance plan, you should calculate how much the addition of your life insurance increase your estate size as it would be included in the calculation.
Our Folsom Estate Planning Attorney Can Help
At Travis G. Black & Associates, we can ensure your assets and paperwork are legally solid to help safeguard your loved ones from potentially complicated probate litigation after you have passed.
Contact our offices today to get started.