Whether you are in the midst of a holiday season or not, you likely spend a significant amount of time thinking about providing care for your family. Estate planning is not something you do for yourself; it is something that responsible adults do to benefit their loved ones.
You can protect your assets and ensure that they are given to your assigned beneficiaries through estate planning. However, there are numerous ways in which this can be accomplished. That is because there are a multitude of tools at your attorney’s disposal. Each one serves a unique purpose. There are benefits and limitations of each. Your lawyer will combine and match, in consultation with your wishes, to give you and your family the most protection.
Two primary estate planning documents are wills and trusts. Your family is best served when you also create a power of attorney that coordinates with your will or trust. Regardless, your family can be more prepared with them. Think of it as a way of organizing before passing away instead of leaving a mess for your family. And you can make these critical decisions while you are still alive and mentally capable of doing so.
Trusts & Wills
There are different types of trusts. For the moment, we will focus on revocable living trusts. The reason being is that these should be sufficient for anyone whose estate is worth less than $5 million—which covers a vast majority of people.
Wills and living trusts allow you to transfer your assets. When your attorney creates the trust, you place your assets into it. Upon passing away, those assets will be protected by the trust and go to your beneficiaries under the conditions created by you. A revocable trust allows you, the trustor, to maintain ownership and control of whatever you place into the trust during your lifetime.
Unlike a will, you never have to file a trust with the court. The privacy of which is a significant selling point for many people.
A will, on the other hand, passes through probate—and is not private. Like a trust you can choose which heirs receive your assets. However, a will must be filed with the court, so anyone can see your will and solicit your heirs.
The probate of your will must remain open for at least 4 months under Washington law. A trust may provide quicker access to funds to support your family in the aftermath of your death.
Wills are active after you pass away, whereas trusts are active as soon as they are created giving the trust maker the immediate ability to get their assets organized.
In addition to passing on money and assets, you can designate people who will become guardians to your children in the event of your unexpected passing in either a will, trust or power of attorney. This is why young families should create an estate plan.
Law Offices Of Mackenzie Sorich
No matter which vehicle you choose, they need to cater to you and your unique circumstances. When you meet with professional estate planning attorneys at the Law Offices of Mackenzie Sorich, we build out your estate plan to meet your needs. Allow our experience to work for you so there are no mistakes. Contact us to schedule your consultation today. 206-336-9195.