Tampa Estate Planning: When Is It Time To Create A Trust?

Estate planning in Tampa involves putting different types of documents in place to protect yourself, your family, and your assets. Unfortunately, many people put off creating an estate plan, leaving them vulnerable to the unexpected. A trust provides important protection. Our Tampa estate planning attorney explains more about what a trust is and when it might be time to put one in place.

Creating An Estate Planning Trust In Tampa

A trust is a common type of estate planning document, although many people are unaware of how it is used and when it applies. It involves transferring ownership of property and assets to a trusted third party, who manages the items contained within a trust according to your wishes and with a legal duty to act in your best interests.

The person who creates a trust and transfers property to it is the trustor. The person responsible for managing the trust is the trustee. Under the Florida Statutes, a trust can be used to protect certain property and to ensure it is distributed among your heirs according to your wishes. Items a trust may contain include:

• Titles to cars, homes, and other real estate or personal property;
• Funds in checking or savings accounts;
• Retirement benefits and investments;
• Shares in businesses;
• Annuities and proceeds of life insurance policies.

Is it Time To Create A Trust As Part Of Your Estate Planning?

While a trust is a common type of estate planning document, many people do not have one in place. According to a CNBC poll, up to two-thirds of Americans have no estate plan at all. Of those who do, most have a will but little else to protect them.

Is it time for you to create a trust? While there is no specific ‘right’ time, you may want to consider it in the following situations:

• You want to ensure small children are provided for properly in the event anything happens to you;
• You want to make detailed distributions among beneficiaries to prevent them from wasting their inheritance;
• You want to protect your assets and business interests against potential lawsuits;
• You are likely to require a nursing home or other long-term care, in which case a trust can help ensure eligibility for Medicaid benefits.

Keep in mind that when creating a trust, you retain the power to change the terms and can still benefit from your various holdings. However, it does provide more extensive protections and helps in shielding your assets, ensuring the financial best interests of you and those you love are served.

Contact Our Office And Request A Consultation With Our Tampa Estate Planning Attorney

A trust plays an important role in estate planning and helps to protect you, your assets, and your loved ones now and in the years ahead. To discuss your options in terms of putting one in place, reach out to Strategic Counsel Law Group, L.C. Give us a call or contact our office online and request a consultation with our Tampa estate planning attorney today.

Sources:

leg.state.fl.us/STATUTES/index.cfm?App_mode=Display_Statute&Search_String=&URL=0700-0799/0736/0736PARTIContentsIndex.html

cnbc.com/2022/04/11/67percent-of-americans-have-no-estate-plan-heres-how-to-get-started-on-one.html

medicaid.gov/