Planning for the future is a critical step for all adults, regardless of age, income level and health status. There are significant benefits to having a legal and financial strategy in place that will allow one to make decisions for himself or herself and decide what happens to personal property. While there is no way to accurately predict what will happen in the future, an estate plan allows one to have some measure of control and confidence regarding long-term interests.
One of the first steps for many in the estate planning process is drafting a will. This is a basic estate planning document that allows one to outline what he or she wants regarding the distribution of personal assets after passing in the future. While it is important, a will may not be all that you need in order to have a complete plan. You may also benefit from establishing a trust.
Types of trusts and their benefits
A trust is an estate planning tool that allows one to set aside and protect assets for a specific use. For example, you can use a trust to pass your wealth to a minor heir, give to charity or ensure the financial provision of a special needs loved one. There are many different types of trusts, and specific ones could help you accomplish specific plans for your estate. Some of the benefits of a trust include the following:
- You can specify the terms of the trust, and you can designate a person you trust to oversee the administration of the trust.
- Assets held in a trust do not have to go through the probate process. This allows you to protect your privacy and save time.
- You can ensure that others use the assets you set aside in the trust as you intended and accomplish your estate planning objectives.
There are many benefits to using a trust as a way to accomplish your estate planning goals. If you think that you could benefit from more than just a will, you may find it helpful to discuss this with an experienced Illinois attorney who can provide you with insight regarding the creation of a strategy that will allow you, as well as your heirs and beneficiaries, to face the future with confidence.
