A revocable living trust helps you pass your assets on to your designated beneficiaries. What makes it attractive is that it can be changed at any time and beneficiaries or assets can be added or subtracted while you are alive. Before setting one up, there are some things you need to know.
Reasons to Make a Living Trust
If you have more than $100,000, real estate (including property out of state), or other valuable assets, you may want to create a revocable living trust to help protect it all. Putting them into a trust that you control enables you to avoid the cost of probate and pass your assets to your chosen beneficiaries faster. It also puts a trusted person in charge to distribute your assets should you become incapacitated.A trust document gives you greater control over your assets than a will. It would especially benefit single people, business owners, married couples with their own property, and people with dependent children. Others that would benefit are those whose assets are higher than the federal estate tax exemption, which is $12,060,000 for 2022, or your state’s exemption limits.
