Gormley and Johnson Law Offices, PLC
Begin Taking Charge Of Your Situation.
Call 517-219-9301

The varied and flexible uses of a trust

A trust is one element a Michigan resident can include in an estate plan. A trust essentially owns the assets funded to it, and the person who creates a trust assigns a trustee to manage the assets according to instructions provided. When people consider adding a trust to their estate plans, it is often because they are looking for a way to avoid probate or reduce the tax burdens of the estate. However, there are a number of other benefits to this estate planning tool.

Since the trust, not the beneficiaries, owns the assets, those assets may not be included as part of any judgment against the heirs, such as a personal injury lawsuit or divorce. In the same way, someone wishing to leave assets to a child who received federal benefits because of special needs can do so without fear that those assets will jeopardize the child's eligibility for those benefits. A trust is often a wise choice for a beneficiary who is a minor or who may otherwise be unable to manage an inheritance.

Trusts can be established to motivate or encourage certain behaviors in heirs. The trustor may require an heir to complete college, perform some humanitarian task or maintain a healthy lifestyle before receive funds from the trust. Finally, a trust is a common way for families to protect their wealth for generations, even through divorces and remarriages.

While a trust is certainly more complex than a will, it is also more versatile. A trust can be adapted to meet the unique needs of any family. With the help of an estate planning attorney, those in Michigan can learn of the best options for their estate plans.

Source: Forbes, "6 Things A Trust Can Do That You May Not Realize", Mark Eghrari, Oct. 27, 2017

No Comments

Leave a comment
Comment Information
  • 2016 Client Satisfaction Award
  • LC | Lead Counsel Rated
  • 10 Best 2015 Client Satisfaction | American Institute of Family Law Attorneys TM
  • Avvo Top Contributor 2015 | Divorce
  • National Association of Distinguished Counsel | NADC | Nation's Top One Percent
Email Us For A Response

How Can We Help You

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Office Location:

Gormley and Johnson Law Offices, PLC
101 East Grand River Avenue
Fowlerville, MI 48836

Toll Free: 888-288-5LAW
Phone: 517-219-9301
Fax: 517-223-8233
Fowlerville Law Office Map