Tag Archive for revocable trust

Amending a Will v. Amending a Trust

Will docProcedures for making changes to your Minnesota Will differ from making changes to your Revocable Trust.

Even the terms describing amendments to these documents are different. An amendment to your Will is called a “Codicil” whereas an amendment to your Revocable Trust is called an “Amendment”. » Read more..

Selecting the Right Trustee or Executor

Estate PlanGiven that your trustee and personal representative (a/k/a “executor”) are charged with ensuring that your Revocable Trust agreement and Will are followed, it’s important to select the right persons to assume these responsibilities.

Both personal representatives of a Will and trustees of a Trust are fiduciaries. As fiduciaries, they are legally required to act for the benefit of your beneficiaries — not for their own benefit — in following the terms of your Will or Trust. » Read more..

Trust Within a Will? Probate Required

Probate CourtWhen you hear that a trust avoids probate in Minnesota, dig a little deeper.

If your trust is buried inside your Will, it is known as a Testamentary Trust, and is not the type of trust that will avoid probate. » Read more..

A Trust Won’t Always Avoid Probate

Probate CourtSetting up a Revocable Living Trust is a good first step to avoiding probate, but it is only a first step.

You still must transfer the title of your assets to the trustee of your Revocable Living Trust.

Even if you’ve already transferred title to some of your assets, the key is whether you’ve properly done so with enough of your assets.   » Read more..

Pros & Cons of Trusts in Minnesota

Trust Doc 2What are some key pros and cons that Minnesotans use to determine whether a Revocable Living Trust should be part of their estate plan?

Pro — Avoid Probate: All assets held in a Revocable Living Trust avoid probate. Probate avoidance is especially helpful when you own real estate in more than one state. If real estate is owned in your name alone, it may trigger a probate action in each state where the real estate is located. » Read more..

Does Your Estate Plan Need a Tune Up?

Your estate plan — like your car — needs a tune-up occasionally.

If you don’t get that tune-up, either your estate planning goals may not be met, and/or you may be paying hundreds — if not thousands — more for legal services and/or other costs than would have been the case if you had timely asked a lawyer to review your estate plan and suggest necessary adjustments based on current laws and your current goals. » Read more..

Does Your Estate Plan Suit Your Life Stage?

What you need for an estate plan varies with each life stage or milestone. Here are some examples of estate plan considerations for Minnesotans at various ages and life stages/milestones:

Age 18: If you are a young adult you should have a Health Care Directive and Durable Power of Attorney because incapacity can strike at any time. The Health Care Directive will enable your hand-picked agent to make decisions regarding your body, and the Durable Power of Attorney will enable your hand-picked representative to handle your financial affairs. » Read more..

When Should You Consider a Revocable Living Trust?

You don’t need to be a millionaire to benefit from a Revocable Living Trust. Regardless of your wealth, a Revocable Living Trust should be considered when you:

Want the opportunity to avoid probate. Probate is required in Minnesota if you own $50,000 or more in assets in your name alone at your death, or you own real estate in your name alone. Any assets held in the name of your Revocable Living Trust are not counted toward the $50,000 figure that triggers a probate action.  Probate costs money and takes time. » Read more..

Should You Use a Trust or LLC to Keep the Cabin in the Family?

Two of the most popular approaches to keeping the revered family cabin in the family are to either place the cabin in a revocable trust or set up a limited liability company (LLC) to own the cabin.

Both approaches have pros and cons. Which technique will work best for you depends on your goals, circumstances and chief concerns.

With either the revocable trust or LLC, your children won’t own the cabin directly. That feature has some practical advantages. » Read more..

Misconceptions Regarding Revocable Living Trusts

Revocable Living Trusts are an excellent estate planning tool, but there are common misconceptions about them. A Revocable Living Trust is set up by you, during your lifetime. » Read more..