Some people in Ohio might wonder whether a trust would be a useful part of their estate plan. A revocable living trust is one of the more commonly used trusts. It is created during a person's lifetime and allows a person to make changes to the trust.
When people set up a trust, there are a few elements they need to consider. First, they need to think about who the trust is for. This is the beneficiary, and a trust can have more than one. They also need to think about what assets they will place in the trust and how they want those assets distributed. A revocable living trust gives the creator a lot of flexibility in this area. For example, money might be held for minor children until they are adults. A trust could be set up so that different beneficiaries are treated differently. Finally, a trustee or trustees are needed to manage the trust.
Over time, as the family situation changes, the trust may need to be changed as well. The trustees, beneficiaries, instructions, and assets contained in the trust might all need regular review.
A person who is considering creating an estate plan might want to discuss trusts and other estate planning vehicles with an attorney. In some cases, people might not be aware of the options available for their situation. They may want to begin by telling the attorney their specific concerns and finding out whether there might be estate planning solutions. These concerns could include caring for a special needs relative, passing assets to grandchildren while bypassing their parents or protecting assets from creditors. An attorney may also be able to discuss strategies for reducing the value of an estate for tax purposes including gifting and charitable giving.