Revocable trusts do not offer asset protection, since there are no restrictions on the trustmaker’s to access the trust assets. If an individual would like to protect their assets, the use of a different estate planning tool would be suggested including various forms of irrevocable trusts. Irrevocable trusts provide asset protection since the trustmaker [...]
Yes! Whether the RLT owns the asset or the RLT is the POD Beneficiary, the asset avoids passing through probate at death. However, an RLT-based plan often includes planning goals beyond just probate avoidance. Of course it should be noted that funding recommendations are specific to the client, the client’s goals, and her [...]
Life and Death: Understanding Your Various Retirement Accounts
A Standalone Retirement Trust (SRT), also know as an IRA Beneficiary Trust, is a trust that acts as a qualified designated beneficiary for retirement accounts. Typically the SRT does not own any assets during your life, but will receive retirement accounts (or part of the retirement account), at your death, through beneficiary designation. By [...]
No! Retirement accounts, like a 401(k), 403(b), or Individual Retirement Account (IRA), must stay in your individual name and an RLT cannot be the owner of such account. If you were to change the ownership to a Trust, the retirement account would have to be cashed out, and a trust-owned non-retirement investment account would [...]
Charitable and Planned Giving Webinar (Audio Recording)
The Basics of Life Insurance
An ILIT is an irrevocable trust created to own certain life insurance policies outside of your estate. You, as the grantor, create the ILIT, which owns your policy. You do not maintain control over the policy and your selected Trustee is effectively the owner. As you are no longer the owner of the policy [...]
Drafting Considerations for Separation Agreements with Life Insurance
Successful Business Succession Planning
